Rebekha Sharkie (Mayo, Centre Alliance) Share this | Link to this | Hansard source

My question is to the Minister for Climate Change and Energy. There's a run on fuel across Mayo. Despite fuel distributors working around the clock, many service stations are needing to restrict sales. Demand is expected to further increase as Vintage steps up for our grape growers. What action is the government taking to stabilise domestic supply chains in regional communities like Mayo so that we're not left with empty bowsers?

Chris Bowen (McMahon, Australian Labor Party, Minister for Climate Change and Energy) Share this | Link to this | Hansard source

I thank the honourable member for her question and the spirit in which she asked it. She is right, of course; across regional Australia, we have seen real pressures on the supply chain as demand has increased. I can tell the honourable member that demand in the Adelaide terminal has increased by 139 per cent, for example, and that is putting pressure on supply chains. It is important for all honourable members, I think, to be clear with Australians that supplies to Australia continue strongly and that we continue to have our minimum stock obligation, which has not been accessed.

In addition, I can say to the House, in direct answer to the honourable member, that the Treasurer and I have worked closely together today to ensure that we are working with the industry and that any necessary ACCC exemptions are granted—it's an independent matter for the ACCC, of course, but we are working to facilitate that conversation with the ACCC—which would allow the companies to ensure that they are working together appropriately, not inappropriately, to ensure supplies to regional areas. We have also, the Treasurer and I, worked together to announce the doubling of penalties for false and misleading conduct and for cartel behaviour to a maximum of $100 million per offence, and we're asking the ACCC to ramp up fuel price monitoring and to report in weekly with a focus on unusual price spikes.

In addition, I've asked the secretary of my department over the last 24 hours to exercise the powers available to him under section 13E of the Petroleum and Other Fuels Reporting Act to seek additional information about supply and demand at the fuel distribution terminals around Australia. I've asked the secretary, of course, to balance carefully the compliance burden on small business, which I would have thought honourable members opposite would have thought of as well—to ensure that any changes that are made balance the need for improved information at the regional level with any compliance burden on small business.

In addition, today I've spoken to a number of CEOs of fuel companies, of large distribution and small, and service stations. They've advised me that supply continues to flow, as would be expected. I can tell the House that ships continue to arrive in Australia, but they are experiencing those localised disruptions because of that very elevated demand. We'll continue to work with them in the terms which I've outlined.