Senate debates

Wednesday, 11 March 2026

Questions without Notice

Fuel Security

2:51 pm

Photo of Helen PolleyHelen Polley (Tasmania, Australian Labor Party) Share this | | Hansard source

My question is to the Minister representing the Minister for Climate Change and Energy, Senator Ayres. Global energy market volatility continues, driven by the war in the Middle East. In response, the Albanese Labor government is working closely with the fuel importers and retailers and the industry associations of major fuel users to protect businesses and households. Can the minister please put the facts on the record and provide an update on the domestic fuel supply and what actions the government is taking?

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

I guess I've had a few opportunities to canvass some of this before, so I'll try and do it in a different—

Photo of Michaelia CashMichaelia Cash (WA, Liberal Party, Leader of the Opposition in the Senate) Share this | | Hansard source

Not convincingly!

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

and, maybe, as Senator Cash says, more convincing kind of way. The National Oil Supplies Emergency Committee has already met twice and been very clear that there is no shortage of supply.

Photo of Bridget McKenzieBridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) Share this | | Hansard source

We've had two meetings—huge!

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

Australia has 1.56 billion litres of petrol on hand, 802 million litres of jet fuel on hand, 2.97 billion litres of diesel on hand—

Senator Colbeck says, 'Where?' Well, not in Texas but here in Australia. This is above—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Wong?

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | | Hansard source

I'm sure he doesn't need assistance, but it was somewhat loud. Point of order: I wonder if we could at least tone the interjections down a little, in terms of volume and repetition.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

I'm sure you've noticed, Senator Wong, that for almost the last hour I have been calling fairly consistently for order, but I would ask those on my left to come to order once again. The minister has the right to respond to the question in silence. Minister Ayres, please continue.

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

Of course, Minister Bowen's work has been ongoing through this process. Yesterday, as was publicly canvassed, we met with the National Farmers' Federation, the Australian Trucking Association, Fertilizer Australia, the peak group of service stations and the Australian Institute of Petroleum. We are going to continue with an approach that is about Australians working together to deliver in the national interest, off the back of this government not just talking about but implementing the minimum stockholding obligations and the country performing at a higher level. We are very focused on these issues, but not complacent. As the announcement that came just before question time and I relayed earlier makes very clear, we are increasing penalties, focused on working with the regulators, and we're going to be working through this in a consistent and disciplined way.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Polley, first supplementary?

2:54 pm

Photo of Helen PolleyHelen Polley (Tasmania, Australian Labor Party) Share this | | Hansard source

Minister, Australia holds more than its minimum stockholding obligations for petrol, diesel and jet fuel. However, some retailers are rationing purchases. Why are some buyers being rationed, and what are buyers and retailers saying about the state of the fuel market?

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

Thank you, Senator Polley. Where there is this rationing behaviour from some petroleum retailers, it is because of a spike in purchases. As I relayed, the Australian Institute of Petroleum said:

AIP members have sufficient fuel supply to meet our normal customer fuel demand.

There are some people in our political system who want to seek political profit from a national challenge. Our approach is to act in the national interest, to continue to build our fuel security and to continue to communicate in a reliable and transparent way. Their focus is to try to hype up the misinformation machine and hope to get a political result. Will they ever learn? (Time expired)

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Polley, second supplementary?

2:55 pm

Photo of Helen PolleyHelen Polley (Tasmania, Australian Labor Party) Share this | | Hansard source

Australia has two petrol refineries, down from six in 2014. Minister, why did these refineries close, and would different government policies on oil extraction have kept these refineries open?

2:56 pm

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

As reluctant as I am to reflect on the performance of the previous government, the previous government neglected the national interest. They wouldn't recognise the national interest if it bit them. Senator Canavan was a minister in that government—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Order, Senator McGrath!

Senator Ayres, please resume your seat. Senator McGrath, I have had to call you to order an extraordinarily high number of times this question time, and almost as many times, Senator O'Sullivan, you have been backing in the disorder. I will ask you to listen in silence to the minister's comments. Minister, please continue.

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

Senator McGrath is usually funnier! Senator Canavan was a minister in that government. Now he's embarrassed and says that, if the states allowed more oil drilling, these refineries would not have closed. He is dead wrong. Geoscience Australia said Australia has limited conventional oil reserves that are being depleted at a faster rate than they are being replaced by new discoveries. As the new leader of the National Party, perhaps he could pick up the phone to the deputy leader of the National Party in the Senate, who sits diagonally opposite him, alongside the leader of the National Party in the Senate, because Senator McDonald does pay attention to some of these facts, rather than making up alternative facts— (Time expired)

2:57 pm

Photo of Sarah HendersonSarah Henderson (Victoria, Liberal Party, Shadow Minister for Communications and Digital Safety) Share this | | Hansard source

My question is to the Minister representing the Minister for Climate Change and Energy, Senator Ayres. Fuel distributor Gretta Barton from Bartranz Petroleum says the wholesale fuel price spikes following the Middle East conflict are the worst she has seen in 30 years times by 100. She says her company would normally distribute around one million litres of fuel a week but can now collect just 50,000 litres a day. Minister, is Ms Barton telling the truth about the crisis on the ground, or is this government's response to her, 'It's enough from you, I reckon'?

2:58 pm

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

The answer to that question is, firstly, that the Australian Institute of Petroleum says—and I'm not sure whether this facility is a member of that organisation or not—that in some areas:

The rush to buy fuel has been unprecedented, outstripping the surge seen at the outbreak of the Russo-Ukrainian war in 2022.

So consumer behaviour here is different. But, in supply terms, those figures that I outlined to the Senate earlier have fundamentally not changed over the course of the conflict. They are about the same. That is because ships have been arriving as predicted. Ships are on the water to Australia as predicted. We are obviously watching those developments closely. But it is not correct to go around saying that Australia has a supply challenge, because that is just not true.

In terms of price, just as I say a national challenge is not an opportunity for political partisanship and political profiteering, it is not an opportunity for price gouging and price profiteering either. That is why we've announced the doubling of penalties for false or misleading conduct and cartel behaviour to a maximum of $100 million per offence across the economy. That's why the ACCC has been tasked to ramp up fuel price monitoring and report weekly, with a focus on unusual price spikes. I won't go to the next bit, because I won't finish it and I'll hear— (Time expired)

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Henderson, first supplementary?

3:00 pm

Photo of Sarah HendersonSarah Henderson (Victoria, Liberal Party, Shadow Minister for Communications and Digital Safety) Share this | | Hansard source

Minister, Australians are interested in the truth. Ms Barton warns trucks are already being parked and that, if shortages continue, people are going to be completely out of fuel. Does the government accept that fuel shortages are already forcing transport operators and businesses across Australia to shut down?

3:01 pm

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

That is the contrast between your political party and the government. Whenever there has been a national challenge over the course of the last few years, the focus of the Nationals, the Liberals and One Nation has been to hyperventilate, drive division, shout at people—

Photo of Sarah HendersonSarah Henderson (Victoria, Liberal Party, Shadow Minister for Communications and Digital Safety) Share this | | Hansard source

President, it's a point of order on direct relevance. Could you ask the minister to please be directly relevant to the question I asked, which was all about—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Thank you, Senator Henderson; I don't need the question repeated. I have written down the key points. Minister Ayres, could you direct your response to the question, please.

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

I'm referring to the kinds of communications that make a difference at a time of national challenge like this. The approach of those opposite has been to spread division, anger and rancour—

Photo of Sarah HendersonSarah Henderson (Victoria, Liberal Party, Shadow Minister for Communications and Digital Safety) Share this | | Hansard source

President, I've a point of order on direct relevance. I did ask about whether fuel shortages are already forcing—

Photo of Sarah HendersonSarah Henderson (Victoria, Liberal Party, Shadow Minister for Communications and Digital Safety) Share this | | Hansard source

transport operators—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Henderson! We've been down this road before.

Photo of Sarah HendersonSarah Henderson (Victoria, Liberal Party, Shadow Minister for Communications and Digital Safety) Share this | | Hansard source

Yes, but the minister did not address the question.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

When I call you, I expect you to stop. You don't need to repeat the question. As I said when you stood last time, the minister is now being relevant. I will continue to listen closely to his response.

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

It goes in a cycle—national challenge, National Party and Liberal Party division, fear, anger and extremism, and then Australians walk away from them. It goes national challenge, anger, fear and political extremism, and then more Australians walk away from them. It happens again and again, and they get smaller and smaller. (Time expired)

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Henderson, second supplementary?

3:03 pm

Photo of Sarah HendersonSarah Henderson (Victoria, Liberal Party, Shadow Minister for Communications and Digital Safety) Share this | | Hansard source

Minister, Australians expect you to answer the question. Ms Barton says farmers could lose entire crops and that piggeries could lose livestock if generators run out of fuel, warning the maths just doesn't work. Will the government stop denying reality and admit Australian industries now face devastating losses because they cannot get the fuel they need? Please answer the question, Minister.

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

Yesterday I spoke with the President of the National Farmers' Federation in the meeting that Minister Bowen convened. He's a real farmer, not a fake farmer. What he said—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Ayres, please resume your seat.

Photo of Michaelia CashMichaelia Cash (WA, Liberal Party, Leader of the Opposition in the Senate) Share this | | Hansard source

You've insulted every farmer!

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

He's not like the fake farmers over there. He is a real farmer, not a fake farmer like that lot over there.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Minister Ayres and Senator Cash, order! I remind you, Senator Ayres, when I ask you to sit, that's what I expect.

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

Sorry, I couldn't hear you.

Photo of Sarah HendersonSarah Henderson (Victoria, Liberal Party, Shadow Minister for Communications and Digital Safety) Share this | | Hansard source

I have a point of order on impugning another senator in this place. Seriously, Minister, that's a joke.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Henderson! The chamber needs to come to order. I don't believe the minister was making a direct comment to anyone. I will ask that, if he was, he withdraw, but I believe it was just a general comment.

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

I was referring to the National Party. The NFF president—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Ayres, in the interests of the chamber, I ask you to refrain from doing that and just answer the question.

Photo of Tim AyresTim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | | Hansard source

The National Farmers' Federation president, Mr McIntyre, said:

… there's been increased demand of about 40 per cent right across the nation … Everyone across the economy … has been forward buying more than they usually do.

What should we do in response to that? Well, one approach is to go and yell at people and tell them there's a supply problem when you know it's not true. The other approach is to communicate directly and transparently in the way that I have done about the amount of petrol and diesel and jet fuel that there is here in Australia: more than there has been for 15 years. (Time expired)

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | | Hansard source

I ask that further questions be placed on the Notice Paper.