Australia Taps Strategic Fuel Reserves For First Time Since 2022

SYDNEY, March 13 (Bernama-dpa) -- Australia is drawing on parts of its strategic fuel reserves for the first time since Russia's 2022 invasion of Ukraine, Energy Minister Chris Bowen announced at a press conference on Friday, reported German Press Agency (dpa).

The government will release around six days' worth of petrol and five days' worth of diesel from its emergency stockpile to give suppliers more flexibility in managing fuel supplies, Bowen said.

He cautioned that due to complex supply chains, the fuel would not reach the market immediately.

"The minimum stock obligation which was introduced ... for this purpose, for, if you like, the rainy day, is now necessary," Bowen said.

"There's a conflict. I think conflict ticks all the boxes of a crisis."

According to the government, Australia's national reserves currently cover about 30 days of fuel consumption, below the International Energy Agency's recommendation that member states maintain at least 90 days of reserves.

On Thursday, the government also temporarily relaxed fuel standards, allowing petrol with higher sulphur content to be sold, as part of efforts to ease supply pressures.

-- BERNAMA-dpa