Australian govt to underwrite fuel imports
Sydney, March 28 (IANS/GURPUNEET SIDHU) The Australian government will underwrite the purchase of essential products affected by the conflict in the Middle East under new fuel security measures announced by Prime Minister Anthony Albanese on Saturday.
Albanese and Chris Bowen, the minister for energy, told reporters in Sydney that the government will on Monday introduce legislation to the federal parliament that will allow the existing export credit agency to underwrite the purchase of fuel, fertiliser and other essentials by the private sector.
“Put simply, we will use Export Finance Australia to underwrite the purchase of shiploads of fuel that will add to supply here in Australia,” Albanese said.
“This support from the government will not be business as usual: it has to be additional supplies that are available on the international market.”
He said that the new measures would mitigate the financial risk for importers who secure additional supply.
It comes amid soaring fuel prices across Australia and widespread shortages in regional areas, reports Xinhua news agency.
Bowen said that Australia had 39 days of petrol, 30 days of diesel and 30 days of jet fuel in the national stockpile as of Saturday.
Prime Minister Anthony Albanese on Friday said Australia’s fuel supply looks good in the short term, but it will get more difficult in the coming months.
Addressing a press conference in Parliament House in Canberra over the escalating fuel crisis facing the country, Albanese said the government is “working around the clock” to “have the strongest possible plan,” and get ready and over-prepared for what may come.
Albanese noted his “positive” engagements with Malaysia, a critical supplier of oil to Australia, and with the wider ASEAN region.
Albanese will also convene a national cabinet meeting on Monday over the fuel crisis.
Earlier in the day, Opposition Leader Angus Taylor called on the government to temporarily halve the fuel excise for three months.
The government on Wednesday conceded that about 470 service stations around the country have run out of at least one type of fuel.
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