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Australian PM asks nation to use less fuel to conserve supplies

James Mayger / Bloomberg
James Mayger / Bloomberg • 3 min read
Australian PM asks nation to use less fuel to conserve supplies
Australia cut fuel taxes this week to try and help consumers deal with the record spike in fuel prices caused by the war in Iran.
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(April 1): Australian Prime Minister Anthony Albanese used a rare national address to urge the nation to save fuel by switching to public transport and prepare for the possibility of difficult times.

“Over coming weeks, if you can switch to catching the train or bus or tram to work, do so,” he said as he laid out the government’s response to the Iran war, which has disrupted energy supplies and driven up global oil prices.

Voluntary restraint “builds our reserves and it saves fuel for people who have no choice but to drive”, he said. While Albanese told Australians to “enjoy your Easter”, he also asked them to not buy any more fuel than normal.

In the speech carried on all the nation’s TV channels and on radio stations, he warned that “the months ahead may not be easy”, and asked Australians to help prepare so that “if the global situation gets worse and our fuel supplies are seriously disrupted over the long term, we can coordinate the next steps together”.

Australia cut fuel taxes this week to try and help consumers deal with the record spike in fuel prices caused by the war in Iran. Panic buying has boosted demand and meant that some petrol stations, especially in rural areas, have run out of fuel. While there were reports of prices falling after the tax cut, upcoming Easter and school holidays might lead to a jump in demand as people travel more.

See also: Singapore warns of costlier power bills due to Mideast conflict

On top of the cuts to gas taxes, Treasurer Jim Chalmers said the government would also provide targeted tax relief for small businesses, as the fallout from the conflict ripples through the domestic economy.

Albanese’s center-left government has moved to reassure motorists that fuel shipments to Australia remain stable, attributing shortages in some areas to panic buying and distribution bottlenecks rather than supply disruptions.

The government has also been working with fuel-exporting nations in Asia to ensure supply. A series of ministers has said that for Australia to continue to be a stable supplier of liquefied natural gas, a reliable supply of liquid fuels such as diesel is required.

See also: Japan to allow more coal-fired power to cope with energy shock

Australia, a key US security ally, has contributed to defensive operations in the Middle East, including deploying an electronic surveillance aircraft to support the United Arab Emirates. However, officials have also repeatedly said there are no plans to commit combat forces or ground troops to the conflict.

“Australia is not a party to the war that Trump is waging with Iran but certainly Australian households are being hit by it,” Home Affairs Minister Tony Burke told the Australian Broadcasting Corp, “and they’re being hit hard, which is why we’re taking such strong action to support them”.

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