Government flags fuel rationing risk but says supplies remain stable
- Mar 17
- 2 min read
The Australian government says fuel rationing is possible if the conflict involving Iran continues for an extended period, but insists there is no need for panic buying right now.
Deputy Prime Minister Richard Marles said the situation will depend on how long the conflict lasts. While he did not rule out rationing in the future, he stressed that there are no current plans to introduce it.
Authorities say fuel supply is still arriving as normal. The government has already taken steps to ease pressure, including releasing 20% of national fuel reserves and temporarily relaxing fuel standards to increase availability.
Marles urged Australians to remain calm and continue normal purchasing habits, warning that panic buying is one of the main reasons behind shortages in some areas.
The disruption is linked to tensions affecting the Strait of Hormuz, a critical global oil route where around 20% of the world’s oil supply passes. Experts say the situation has created one of the biggest supply shocks in decades.
Regional communities have been hit the hardest, with some service stations running low due to sudden spikes in demand rather than a complete lack of fuel.
Treasurer Jim Chalmers said suppliers were prepared for normal demand levels, but not for the surge caused by stockpiling.
Meanwhile, the Australian Competition and Consumer Commission is investigating sharp fuel price increases. Major retailers have been called in to explain the sudden spikes.
The government has also increased penalties for companies found to be engaging in unfair pricing, warning that strong action will be taken if misconduct is uncovered.
For now, officials say the key message is simple: fuel is still flowing, and there is no need to panic.
Source : 9News
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