Australia news live: PM announces $10bn fuel and fertiliser security budget package; alleged Bondi terror attacker to face 19 extra charges | Australia news

Australia news live: PM announces $10bn fuel and fertiliser security budget package; alleged Bondi terror attacker to face 19 extra charges | Australia news


www.theguardian.com

Budget to include $10bn package to ensure fuel and fertiliser security, including permanent reserve of 1bn litres

Anthony Albanese is speaking now in Sydney, saying the government is continuing its work to tackle the ongoing fuel crisis.

Albanese said the budget will include a more than $10bn package to ensure fuel and fertiliser security, including a permanent, government-owned fuel security reserve of about 1bn litres.

double quotation markThis will support an overall expansion of Australia’s onshore fuel reserves to ensure at least 50 days of fuel supply and storage of diesel and aviation fuel.

Albanese added:

double quotation markWe have worked relentlessly to secure our fuel supply lines. So far we are faring well.

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Patrick Commins

Emergency fuel rationing a ‘small but distinct possibility’, S&P says

Australia could be pressed within a matter of weeks to invoke emergency powers to ration fuel should our key overseas suppliers decide to hold back exports for their own use, according to S&P Global Ratings.

As Anthony Albanese announces a new, multi-billion plan to boost fuel security, S&P analysts Martin Foo and Anthony Walker in a new report said Australia was “unusually exposed” to the global oil shock triggered by the US-Israel war on Iran.

Foo said that he believed that Australia would be able to get the fuel it needs, “albeit at elevated prices”.

A petrol station in Melbourne, seen last month. Photograph: William West/AFP/Getty Images

“Its [Australia’s] relative wealth means it can outbid most other buyers for spot cargoes,” he said, adding that the government had also shown a “readiness … to remind trading partners of their co-dependence on Australian coal and liquefied natural gas”.

But with only a “thin” 43 days worth of petrol consumption in reserves, and 33 days of diesel and 28 days of jet fuel, “outright shortages [are] a small but distinct possibility”.

double quotation markIn a downside scenario, countries could begin enacting beggar-thy-neighbour export controls. This could force Australia to ration fuel, as occurred during World War II and after the 1979 Iranian revolution.

Diesel and jet fuel appear to be at greatest risk – unless China relaxes its export ban, as it hinted at doing in late April.



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