Energy Minister Angus Taylor has announced a major new $200 million package to strengthen Australia’s fuel security for crisis situations and to put downward pressure on fuel prices.
The energy minister said the package would “deliver a range of benefits”, including ensuring consumers have a reliable, affordable supply of liquid fuels, as well as delivering jobs.
“The stock-holding obligations will deliver 950 jobs in building almost 800 million litres of new diesel capacity,” he said.
“On top of that, this will deliver the sort of control over our destiny with liquid fuels that we need.
“We need to be in a position where if we can’t import, we can continue to run those essential services that are so essential for Australians every day whether it be in farming, commuting, for tradies or other essential services.”
Mr Taylor said there were three main parts to the package: the first being a refiner production payment to protect Australian refineries processing domestic supplies of crude oil and the second being a minimum mandatory stock-holding “to keep the wheel of industry turning”.
“Thirdly, the government will be contributing $200 million dollars to support the establishment of new storages for diesel in particular,” he said.