Transporters Call for Accessible Diesel Supply
Australia’s livestock and rural transporters have praised the billion-litre national fuel reserve initiative. They emphasise its success depends on delivering diesel to regional areas during supply disruptions.
Federal Government’s $10 billion-plus fuel security package, including $3.2 billion for a government-owned reserve and $7.5 billion for a fuel and fertiliser security facility, has received backing from the Australian Livestock and Rural Transporters Association (ALRTA). The initiative’s functionality beyond urban centers remains crucial.
Gerard Johnson, the ALRTA National President, stated, “Regional Australia runs on diesel. Our members move livestock, grain, feed, fertiliser and farm supplies across long distances every day. When diesel runs short, animals do not move. Feed does not move. Farm goods do not move.”
Essential Designation for Rural Operators
Classifying livestock and rural transport as essential users in any drawdown arrangement is vital, according to Johnson. Clear guidelines must exist for accessing the fuel reserve during shortages. “Fuel must be where rural operators need it. These are not optional trips. They are part of Australia’s food supply chain,” he said.
Higher stockholding obligations within the package aim to ensure a minimum of 50 days of diesel and aviation fuel supply. Johnson acknowledged the government’s decision, remarking, “The Government has made the right call. A strategic national reserve is long overdue and ALRTA commends the commitment to getting it done.”
Concerns arise about potential financial impacts on small and family-owned transport businesses. Johnson noted, “While we support stronger fuel security, it should be structured for regional operators without imposing extra costs on businesses that maintain rural supply chains.”
“Fuel security is food security,” Johnson commented. “It is also regional security and national productivity.”
Protecting against future supply chain disruptions is the aim of the fuel reserve, according to the ALRTA. Prioritizing rural areas is essential, as many remote communities rely heavily on diesel for daily operations.
Past fuel shortages impacted the agricultural sector, prompting the Federal Government’s new initiative. The ALRTA hopes that these measures will prevent similar issues in the future.
Other sectors in regional Australia, including mining and forestry, are expected to benefit from the fuel reserve. These industries also depend on a steady diesel supply for their operations.
Collaboration between the government and industry stakeholders is planned to ensure the fuel reserve meets the needs of all sectors involved. This cooperation aims to create a more resilient supply chain across the nation.
“Ensuring diesel reaches rural areas is critical,” Johnson emphasised. The ALRTA remains optimistic about the positive impact of the fuel reserve on regional logistics.
According to Anthony Boyle, Executive Director of ALRTA, the ongoing dialogue with the government will continue to address any emerging challenges. “We are committed to working together to secure Australia’s fuel future,” Boyle said.
