CEO UPDATE
Over the past fortnight, ALC has continued to focus on the immediate pressures facing Australia’s supply chain logistics and freight transport industry, particularly rising diesel costs, fuel security and the financial sustainability of road transport operators. National average retail diesel has reached $2.30 per litre, with further international price increases still expected to flow through to Australian wholesale and regional markets. ALC has reinforced with government that smaller operators remain critical to first- and last-mile freight movements and that continued cost pressure, workforce shortages and limited capacity to recover costs through existing contracts present a broader risk to supply chain continuity.
ALC has also maintained strong engagement across government and industry on longer-term resilience and productivity priorities. This has included preparing for the new parliamentary inquiry into national civil preparedness and resilience, representing industry priorities through the NSW Freight Transport Advisory Council, and supporting stronger national planning for freight rail, industrial land and critical infrastructure.
UPCOMING MINISTERIAL & GOVERNMENT MEETINGS
UPDATES ON PREVIOUS SIGNIFICANT MEETINGS
POLICY SUBMISSIONS
WORK IN PROGRESS
POLICY SUBMISSIONS
LODGED
HIGHLIGHTS OF ALC MEETINGS | 24 JULY TO 6 AUGUST 2026
The Department confirmed there has been no change to the Australian Government’s announced position on the phased return of fuel excise and the normal heavy vehicle Road User Charge. Officials are continuing to monitor fuel prices and financial pressures across the road transport sector, particularly among smaller operators, and welcomed further evidence from the industry.
ALC highlighted that fuel costs are adding pressure to an industry already facing:
• rising insolvencies among small and medium road transport businesses;
• an estimated 28,000 vacant truck-driver positions;
• an ageing workforce and limited recruitment pipeline;
• fragmented regulation across jurisdictions; and
• difficulty passing rising operating costs through fixed or long-term contracts.
ALC stressed that smaller operators remain essential to the broader supply chain, particularly for first- and last-mile services, and that their financial instability has consequences for larger freight and logistics businesses.
The Department also advised that work is progressing on potential road user charging arrangements for electric vehicles, covering both light and heavy vehicles. Detailed public consultation is expected, subject to government decisions on timing. ALC offered to support the process by providing operational data and by engaging directly with members.
The meeting also discussed the electricity infrastructure required to support fleet electrification, including competition for grid capacity from data centres and other major users.
Dr Hermione Parsons represented ALC at the NSW Freight Transport Advisory Council meeting in Sydney on 29 July 2026. The meeting included direct engagement with NSW Minister for Transport John Graham and Minister for Roads and Regional Transport Jenny Aitchison, alongside senior freight industry and Transport for NSW representatives.
A major focus was the Western Sydney Freight Line and Intermodal Terminal. Discussion examined the case for extending the project to the Main West Line and St Marys Intermodal Terminal, which industry considers critical to completing the missing freight rail link, improving regional and interstate connections, strengthening network resilience and increasing the benefits delivered by Stage 1.
The Council also considered the proposed Mamre Road data centre development and the risk that non-freight uses could constrain scarce industrial land immediately adjacent to the future intermodal terminal. This remains an important issue for ALC given the need to protect strategically located freight and logistics land from incompatible development.
Transport for NSW also briefed members on the development of the NSW Freight Master Plan, which will provide an integrated view of freight network requirements to 2050, including capacity, reliability, access, resilience, land-use pressures and future freight demand.
ALC’s attendance ensured national supply chain priorities—including freight rail productivity, industrial land protection, network resilience and better integration between state and federal planning—were represented in the NSW Government’s freight policy and infrastructure discussions.
ALC attended the sixth National Coordination Mechanism meeting on Australia’s H5 bird flu response on 31 July 2026. The meeting brought together government agencies, industry representatives, peak bodies, wildlife organisations and First Nations representatives.
Australia’s national response remains activated at Tier 2 under AUSBIOAGPLAN. At the time of the meeting, there were 33 confirmed H5N1 cases and a further 22 suspected cases awaiting confirmation, with detections across coastal areas in Western Australia, South Australia, New South Wales, Queensland and Victoria.
Authorities confirmed local transmission among greater crested terns in South Australia and advised that eradication or containment in wildlife is no longer considered possible. The H5 National Management Agreement has now been activated, shifting the response towards managing risk, supporting affected communities, protecting vulnerable wildlife populations and strengthening biosecurity practices.
The Australian Centre for Disease Control advised that the risk to human health remains low. Chicken meat and eggs remain safe when handled and cooked correctly. No transmission to poultry had been identified in Queensland, NSW had recorded no further cases or reports of sick poultry, and Western Australia had recorded no additional cases.
For ALC, the key issue remains the potential impact on agricultural, food and freight supply chains should the outbreak spread into commercial poultry or begin to affect transport operations and workforce availability. Further national meetings will be held as required.
UPCOMING ENGAGEMENTS | 7 AUGUST TO 20 AUGUST 2026
For further details or to contribute to these discussions, please email Samantha.Leighton@austlogistics.com.au
SIGNIFICANT ANNOUNCEMENTS
National average retail diesel reached $2.20 per litre, up $0.19 in one week, $0.35 over the month and $0.36 compared with the same time last year.
Wholesale diesel rose to $2.10 per litre, an increase of $0.19 for the week and $0.47 over the month. The Singapore Gasoil 10ppm benchmark also climbed to $1.44 per litre, up $0.13 for the week and $0.42 over the month.
AIP notes that changes in Singapore prices generally take one to two weeks to flow through to Australian wholesale prices, and longer in regional areas. This suggests the latest international increase may not yet be fully reflected in domestic diesel prices.
Premier Ben Carroll has announced a reduced Victorian Ministry, with the new Cabinet focused on cost-of-living pressures, community safety, healthcare, education and economic growth. A new Artificial Intelligence and Digital Economy portfolio has also been established.
Key appointments relevant to the freight and logistics sector include:
• Melissa Horne remains Minister for Ports and Freight and has added Jobs, Industry and Advanced Manufacturing, and Defence Industry.
• Paul Hamer becomes Minister for Roads and Road Safety.
• Vicki Ward becomes Minister for Public Transport.
• Jaclyn Symes takes responsibility for Energy and Resources, Climate Action, Environment and the State Electricity Commission.
• Michaela Settle holds Agriculture, Water, and Rural and Regional Development.
• Anthony Carbines takes responsibility for Artificial Intelligence and the Digital Economy, Economic Development and Major Events.
The consolidation of freight, industry, advanced manufacturing and defence industry under Minister Horne provides a strong point of engagement for ALC across freight productivity, infrastructure, industrial capability and supply chain resilience.
The Parliamentary Joint Committee on Defence has commenced an inquiry into Australia’s national civil preparedness and resilience amid growing geopolitical risk and vulnerability to global supply chain shocks. The inquiry will examine whole-of-nation support for national defence, continuity of government, and the availability of essential goods and services—including fuel—during crises or conflict.
The Committee will consider how Commonwealth, state, territory and local governments can work with industry and communities, identify current strengths and gaps, and assess international approaches that could be adapted for Australia.
Submissions close Friday, 6 November 2026 – The inquiry is directly relevant to ALC’s work on fuel security, critical infrastructure, freight continuity and supply chain resilience. ALC will facilitate an industry response as part of its submission process, providing members with an opportunity to contribute evidence, operational insights and recommendations.
The NSW Legislative Assembly Committee on Transport and Infrastructure has tabled its final report on infrastructure for electric and alternative energy source vehicles in NSW. The report focuses on the infrastructure, policy and workforce measures needed to support the transition to electric vehicles and meet emissions reduction targets.
The report contains 18 recommendations, including:
• improving access to EV charging in new and existing multi-dwelling buildings;
• supporting local councils and charge point operators to install charging infrastructure;
• working with the Commonwealth and neighbouring states on a framework for alternative energy source heavy vehicles; and
• establishing formal training and upskilling pathways for electricians and mechanics working on EVs.
A strong emphasis is placed on regional NSW, where barriers include charging blackspots, range anxiety and limited access to mechanics trained to service EVs. Recommended measures include reviewing grant eligibility, introducing targeted incentives, and expanding charging infrastructure at petrol stations and heavy vehicle rest areas.
The National Heavy Vehicle Regulator has published three notices covering agricultural vehicle operations and changes to heavy vehicle network access.
A new National Class 1 Agricultural Vehicle and Combination Mass and Dimension Exemption Notice 2026 will commence on 14 August 2026 and remain in place until 30 April 2029. It replaces the 2024 notice and applies across the ACT, New South Wales, Queensland, South Australia, Tasmania and Victoria.
The notice provides exemptions from some standard mass and dimension requirements for eligible agricultural vehicles and combinations. Conditions include a general 45-tonne GCM limit, zone-based limits for width, length and rear overhang, tow-mass and braking requirements, speed restrictions, pilot and escort arrangements, and separate conditions for cotton harvesters, sugarcane harvesters and rubber-tracked tractors.
Operators will still need to check the NHVR Agricultural Heavy Vehicle Map and Operator’s Guide before travel, as access remains subject to approved routes, restricted roads, prohibited structures and state-specific conditions.
The NHVR has also announced several network changes:
- Gympie, Queensland: B-double access is being removed from Bath Terrace and Stewart Terrace.
- Scartwater Road Bridge, Queensland: a 2.5-tonne mass limit and 5 km/h speed limit now apply because of bridge damage.
- Teralba, New South Wales: York Street and Racecourse Road are scheduled to close from 17 to 21 August 2026 for bridge works.
- Dimboola, Victoria: access to Ellerman Street is being restricted or removed across several B-double, PBS, higher-mass, oversize and grain-harvest networks because of level-crossing and road-safety risks.
A separate Queensland notice removes sections of Opal Street, New Street and Robert Street from the Type 1 and Type 2 road-train networks because of short-stacking risks at the Opal Street level crossing. Road trains must instead access the Roberts Street depot via the Capricorn Highway and Selma Street.
The latest Australian Institute of Petroleum data shows another sharp rise in diesel prices for the week ending 26 July 2026.
The Commonwealth and WA governments will jointly fund a $4 million feasibility study, contributing $2 million each, to examine the commercial case for a new refinery.
The Commonwealth contribution comes from the $10 million allocated in the May Budget for domestic refining feasibility work. The proposed facility would become Australia’s third operating refinery and, if developed, the first new large-scale refinery built in Australia since the 1960s.
The WA Government will lead the formal process. Potential sites will be examined predominantly in the Mid-West and South-West, with the study considering economics, location and relevant environmental approval requirements. No final location, construction commitment, operating capacity or commencement date was announced.
The governments positioned the proposal as a sovereign capability and national resilience measure, aimed at reducing Australia’s exposure to international conflict, fuel supply disruption and global price shocks. WA ministers argued that a refinery would support the state’s resources, agriculture, transport and food supply chains.
The Prime Minister did not announce an extension of the current fuel excise relief. When questioned, he confirmed the previously announced reduction in combined Commonwealth and state relief from 32 cents to 16 cents, while referring to broader cost-of-living measures. His answer indicates the scheduled step-down will proceed, although he did not clearly state the precise end date during the exchange.
The press conference was held at the Perdaman Urea Project, which the government presented as another major sovereign manufacturing investment. The plant is expected to produce 2.3 million tonnes of urea annually, create around 2,500 construction jobs and generate an estimated $8.5 billion in public benefit. The government said it had supported the project through a $220 million loan and additional assistance for port and water infrastructure
Pilbara Ports has awarded Melchor Contracting a contract under the $37 million Utah Ring Road Reconstruction project at the Port of Port Hedland. The project will replace about two kilometres of asphalt road at the Utah Bulk Handling Facility with a high-durability concrete surface.
The road was originally built to support around 12 million tonnes a year but now carries approximately 20 million tonnes. The upgrade is intended to improve heavy vehicle access, safety and reliability, while reducing ongoing maintenance.
Works are expected to take about 18 months and will be staged to keep the facility operating and minimise disruption to industry.
Western Sydney International Airport has commenced freight operations, with a Qantas aircraft carrying Australia Post parcels becoming the first freight service to depart the new airport.
The airport’s cargo precinct will ultimately handle up to 1.8 million tonnes of air freight each year. Stage one can accommodate up to eight wide-body freighters or 16 narrow-body domestic freighters at the same time. Qantas Freight, Menzies Aviation, dnata and Texel Air are among the operators using the precinct.
The 24-hour freight capability is expected to give manufacturers, exporters and logistics operators faster access to international markets and support the growth of the Western Sydney Aerotropolis. Regular passenger services are scheduled to begin on 25 October 2026.
Australia and Singapore have signed a new Protocol on Economic Resilience and Essential Supplies under the Singapore–Australia Free Trade Agreement. The Protocol is intended to strengthen cooperation on energy security, critical supply chains, and trade, including ensuring essential supplies flow during periods of disruption.
Singapore is Australia’s largest fuel supplier, providing 55 per cent of petrol, 15 per cent of diesel and 23 per cent of aviation fuel. With Australia importing around 90 per cent of its fuel, the agreement is a significant step toward strengthening supply resilience.
The Protocol also establishes an Australia–Singapore Economic Resilience Dialogue to support practical cooperation on shared supply-chain challenges. Ministers also signed a separate industrial base resiliency arrangement to strengthen defence industry cooperation and supply-chain resilience.
GEOPOLITICAL & TRADE UPDATES
Asian crude oil and refined fuel imports improved during July but remain well below the levels recorded before the war with Iran. Crude imports were approximately 15 per cent below pre-conflict levels, while imports of refined products—including diesel and other middle distillates—were 18.5 per cent lower. The recovery was partly attributed to a temporary ceasefire that allowed tankers stranded around the Strait of Hormuz to complete their voyages.
For Australia, continued pressure across Asian fuel markets remains significant. Competition for diesel and other refined products could intensify again if flows through the Strait of Hormuz deteriorate after August, placing further pressure on import costs, freight operators and domestic supply chains.
Read more: Asian crude and fuel imports recover but remain below pre-Iran war levels — Reuters
Iran and Oman are progressing negotiations to establish safe inbound and outbound shipping routes through the Strait of Hormuz. The proposed arrangement could see Iran oversee vessels entering the Persian Gulf and Oman manage outbound traffic, although negotiations over control, security arrangements and potential transit charges remain unresolved. A cargo vessel was also reportedly struck in the Strait during the negotiations, demonstrating that the security risk to commercial shipping remains active.
A successful agreement could help stabilise global fuel supply and maritime trade. However, continued uncertainty around safe passage through the Strait remains an immediate risk for Australia, with disruption capable of increasing fuel prices, shipping insurance, vessel delays and freight operating costs.
Read more: Iran and Oman make progress on a deal to reopen the Strait of Hormuz — Associated Press
The United States has imposed a 12.5 per cent tariff on imports from Australia and 37 other countries, alleging insufficient action to prevent goods produced using forced labour from entering international supply chains. The Australian Government has described the measure as unjustified and confirmed it will continue to seek its removal.
The decision creates an immediate cost and market-access risk for Australian exporters. It also signals that modern slavery controls, supplier transparency and supply chain traceability are becoming increasingly influential in international trade policy.
Read more: Australia to raise concerns over new tariffs with Trump — Reuters
Australia and Singapore have signed a new Protocol on Economic Resilience and Essential Supplies under the Singapore-Australia Free Trade Agreement. The agreement is intended to protect access to essential goods, strengthen energy security and keep trade flowing during periods of disruption.
Singapore provides 55 per cent of Australia’s petrol, 15 per cent of its diesel and 23 per cent of its aviation fuel. The Protocol is therefore directly relevant to the resilience of Australian fuel supply chains and reinforces the importance of trusted regional trading relationships during geopolitical disruption.
Read more: Australia and Singapore sign Protocol on Economic Resilience and Essential Supplies
The Australian Government’s temporary fuel excise discount ended on 3 August, alongside the associated relief from the heavy vehicle road user charge. Diesel was already expected to exceed $2.40 per litre across much of Australia, with renewed conflict involving Iran increasing international oil and fuel-import costs.
Although the Government has advised that Australian fuel orders are secured and 44 fuel vessels are expected to deliver approximately 3.1 billion litres over the coming month, elevated diesel prices will continue to place pressure on freight operators and flow through supply chains to businesses and consumers.
Read more: Petrol and diesel prices rise as fuel excise relief ends — The Guardian
ALC IN THE NEWS
ABC News – The Business Live Interview
Owner Driver Magazine – Australian Logistics Council adds its voice to calls for diesel excise relief extension
The Weekly Times – Industry chiefs warn on Australia’s diesel reliance as global supplies tighten
OPEN SUBMISSIONS
Climate Change Authority – 2026 Annual Progress Advice consultation paper – member input closes 26 July 2026
SUBMITTED
The Department of Home Affairs – proposed amendments to streamline and modernise the Security of Critical Infrastructure Act 2018
ACCC Authorisation – Woolworths Group Limited, on behalf of itself and other supermarket chains
For further details or to contribute to these discussions, please email: policy@austlogistics.com.au.
Issued by:
Samantha Leighton,
Head of Government and Industry Affairs
Period: 24 July to 6 August 2026
2026
UNLOCK THE POWER OF LEADERSHIP:
BECOME A CORE MEMBER
Core Members on the ALC Council provide crucial strategy, policy direction and thought leadership.
To join a unified voice and achieve transformative outcomes that benefit the overall industry and your business, contact our membership team.
