Australia is shoring up its national fuel security as the war in Iran and the closure of the Strait of Hormuz a vital route for one‑fifth of the world’s oil supply continue to rattle global markets. Energy Minister Chris Bowen confirmed that the country currently holds 43 days of petrol, 31 days of jet fuel and 38 days of diesel, figures that highlight both preparedness and vulnerability amid escalating geopolitical tensions.
Bowen said the government wants to see a peaceful resolution to the conflict but acknowledged Australia is not a central player in the crisis. He reiterated that the recent fuel excise cut was always intended as a temporary measure. The three‑month reduction has already cost the federal budget $2.9 billion, and no funding was allocated in the May 12 budget to extend it.
However, the budget did include $3.2 billion for a new government‑controlled fuel reserve a move aimed at strengthening national resilience as global supply chains face mounting pressure.
In a regular update on fuel stocks, Bowen announced that an additional 50 million litres of diesel had been secured as a buffer for Western Australia, along with 50 million litres of jet fuel added to national reserves amid what he described as “international concern” over global jet fuel levels.
The Strait of Hormuz shutdown has intensified volatility across energy markets, raising fears about supply disruptions and price shocks. With Australia heavily reliant on imported fuel, the government is moving quickly to build buffers while maintaining that the excise cut will not become a long‑term measure.
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