dailyloe.com – Australia has secured 100 million litres of diesel using new government powers to underwrite fuel shipments. Prime Minister Anthony Albanese announced the purchase during a trip to Malaysia. The two shipments total 570,000 barrels and come from Brunei and South Korea. This is the first use of strategic reserve powers passed by parliament last month.
Petrol companies still buy the fuel under the new laws. The government takes on the financial risk of shipments that might be too expensive. Anthony Albanese said the conflict in the Middle East prompted the move. He called it a practical outcome of engagement with regional partners.
“This is the first of many expected shipments secured under the government’s new strategic reserve powers,” Albanese said. The purchases were made with the support of Export Finance Australia. The additional diesel can be directed to where it is needed most. This includes Australia’s farmers.
The diesel was purchased by Viva Energy. This company operates the oil refinery that caught fire in Geelong, Victoria. Prime Minister Albanese has fast-tracked his return from Malaysia following the refinery fire. He will fly overnight to Geelong to meet with Viva Energy on Friday.
Albanese said the fire scenes were distressing but no-one was harmed. He said there would clearly be a consequence for fuel supply. The government will work with the company to bring anything offline back online. The goal is to restore operations as soon as possible.
Albanese made the diesel announcement during a joint press conference in Kuala Lumpur. His Malaysian counterpart Anwar Ibrahim was present. The leaders discussed regional cooperation during their meeting. The fuel security move addresses supply concerns amid international tensions.[]
Source: Australian Broadcasting Corporation
