Bowen replaces cancelled oil ships, says rationing is a last resort
THOMAS HENRY - 25 March 2026
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The government has confirmed replacements for six cancelled oil shipments and deals with companies to deliver fuel supplies released from Australia’s strategic reserves, denying that rationing is on the agenda.
Energy Minister Chris Bowen said the cancelled shipments had been replaced from alternative sources and that an additional three deliveries had been secured over and above what had been contracted for the next two months.
“I previously have informed the house that … of the 81 expected ship arrivals over April, we were aware of six cancellations. All of them have now been replaced with alternative spot market orders from different locations,” Mr Bowen said.
“Industry has informed me this morning that in addition to replacing those six cancelled boats, they have been able to secure at least three more cargo deliveries for April and May for Australia, over and above the normal contracted deliveries to ensure that we are dealing with this demand.”
Mr Bowen also said two deals had been struck with companies to deliver supplies from Australia’s strategic reserves to regional areas.
Early on Wednesday the government said fuel rationing measures would be a last resort, ruling out a cap on the amount of petrol motorists could buy as recommended under a national fuel emergency plan.
After the release of the most recent version of Australia’s National Liquid Fuel Emergency Response Plan, which recommends, among other measures, car pooling and daily limits on fuel purchases, Mr Bowen said rationing would only be used in the “absolute worse-case” scenario.
He ruled out the possibility of a $40 cut-off for motorists looking to fill their tanks and said there was more fuel in Australia than at the start of the conflict in Iran.
“There’s a range of government measures. Rationing would be the absolute worst case. So it’s not on the agenda,” he said.
“In terms of that $40 approach … we wouldn’t go down that particular road. I’m not contemplating that.
“But we are working with states on their powers, on our powers, how they work together in terms of prudent contingency planning.”
With the number of service stations running dry continuing to rise, Mr Bowen maintained there was no hit to Australia’s supply of fuel and that shortages were entirely demand-driven.
The NSW government confirmed on Wednesday that of the state’s 2400 stations, 32 in regional areas had no fuel, 313 were without at least one type of fuel, and 187 had run out of diesel.
Mr Bowen attributed the shortages wholly to spikes in demand, which he said was “understandable”, but said the government was continuing to urge consumers only to buy what they needed.
“We’ve seen very big spikes in demand. Some of it has been panic buying. Some of it has been people getting ahead of price rises. Some of it has been farmers stocking up, which is fair, I get all that, that’s reasonable,” he said.
“Every ship that we’ve expected to arrive has arrived, and the two refineries are working perfectly well … It’s not a supply issue in Australia. Clearly we’ve had big increases in demand.”
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