WITH Middle Eastern conflict again causing fuel prices to skyrocket, livestock transporters are calling on the Federal Government to ensure its proposed Australian Fuel Security Reserve (AFSR) delivers diesel where it is actually needed – in regional, rural and remote Australia.

In response to the government’s consultation paper, the Livestock, Bulk and Rural Carriers Association has submitted its Regional Fuel Storage Scheme proposal, seeking a dedicated regional component within the AFSR.

Association president Wade Lewis said LBRCA was taking a pragmatic approach in its response to the government’s consultation.

“We are proposing a five-year target of 250 million litres of additional, verified diesel storage capacity in the regions,” he said.
“Fuel security, particularly for diesel, cannot be measured only by how many litres Australia holds nationally, because distribution of that diesel is key,” Mr Lewis said.

“The real test for the success of the AFSR will be whether diesel storage in the regions increases, and in the event of disruption, it is available to the people in critical industries such as road transport and agriculture.”

“Our proposal does not seek to be reactive to the crisis in the Middle East, we are focused on building resilience for regional communities and rural supply chains that can be isolated by floods, bushfires, road closures, damaged bridges, power outages or disruption to terminal and distribution networks.

“Fuel sitting at a major coastal terminal is of limited value if it cannot reach a livestock carrier, farmer, processor or one of the many other key industries relying on diesel,” Mr Lewis said.

LBRCA says national and centralised reserves remain important, but they do not solve the final distribution problem. Distributed regional storage would place fuel closer to essential users and reduce reliance on emergency resupply during major disruptions.

The LBRCA has proposed that regional carriers, agricultural businesses, fuel distributors, processors, councils, cooperatives and shared depots be able to participate in the scheme, with funding targeted toward areas with high diesel use, limited alternative supply routes and vulnerability to natural disasters.

“Australia does not have genuine diesel fuel security unless it is available in the regions and on the key freight networks when it is needed.

“There is an opportunity through this consultation to get the settings right, build storage in strategic locations and facilitate the involvement of small, medium and large organisations,” Mr Lewis said.

“This country relies heavily on the movement of goods to keep our economy open, fridges full and getting products from paddock, to plate and port.”

“We are making a very simple and clear ask of government, investing a quarter of the strategic reserve in the regions means investing in economic resilience, food security and national preparedness,” Mr Lewis said.

Source: LBRCA