Fortnightly ALC Government Relations Update No. 15 | 7 August to 20 August 2026

The Australian Logistics Council (ALC) has welcomed the Australian Government’s consultation on fuel security and low-carbon liquid fuels, with the measures closely reflecting priorities ALC has been advocating for on behalf of Australia’s supply chain logistics and freight transport industry.

ALC met with Minister for Climate Change and Energy Chris Bowen and Minister for Infrastructure, Transport, Regional Development and Local Government Catherine King for the announcement, which brings fuel security, domestic capability and the transition to lower-emissions fuels into a broader national resilience agenda.

The Government’s Strengthening Australia’s Fuel Security and Resilience consultation proposes a government-controlled one billion litre Australian Fuel Security Reserve, focused on diesel and jet fuel, a 10-day increase to the Minimum Stockholding Obligation for diesel, petrol and jet fuel, and measures to support Australia’s domestic refining capability beyond 2030.

ALC has also welcomed the release of the Government’s Securing Australia’s Cleaner Fuels Industry consultation on a demand mechanism for low-carbon liquid fuels.

The consultation identifies domestic low-carbon liquid fuel production as an opportunity to strengthen fuel security, support new industries and regional development, and reduce emissions in sectors where liquid fuels remain difficult to replace, including heavy transport and aviation.

Queensland’s current Fuel Security Plan is centred on increasing domestic production, refining and storage capacity, with the Government describing its approach as restoring the State’s ability to “drill, refine and store” fuel locally. The 2026–27 Budget includes $19 million over two years to support the plan, including development of the Taroom Trough and measures intended to strengthen sovereign fuel capability.

Other measures already underway include an Accelerating Fuel Infrastructure Program, which seeks industry proposals for additional refining and storage on government-owned land and at ports in Brisbane, Townsville, Mackay, Gladstone, Abbot Point and Bundaberg. The Government has also fast-tracked bp’s Bulwer Island lease extension, which could initially deliver 54 million litres of additional storage for diesel, petrol and aviation fuel, with further capacity potentially available in a second stage.

For the supply chain logistics and freight transport industry, another important element is Queensland’s support for greater visibility of incoming fuel supplies. The State Government has publicly backed calls for the Commonwealth to provide a national dashboard of incoming fuel shipments, allowing governments and industry to identify emerging supply pressures earlier. Queensland is also supporting domestic renewable diesel production with $25 million for Ampol’s Lytton refinery, with initial production capacity of up to 20 million litres a year from 2028 and potential expansion to substantially larger production of renewable diesel and sustainable aviation fuel.

Transport for NSW provided its fortnightly update on works to the Great Western Highway, including progress on the Mitchells Causeway project at Victoria Pass and Little Hartley. Project Manager Tony Shepperd advised that repair works are continuing, although the age and engineering design of the bridge are presenting additional challenges. More than 120 workers have now been inducted as part of the broader works to commission a third lane; however, the immediate priority remains reopening the highway. Full project completion is not expected until 2027.

Industry continues to report significant impacts from the closure, with detours increasing travel times and contributing to higher fuel, toll and demurrage costs. Safety concerns were also raised following three recent crashes on the detour route. Transport for NSW advised that NSW Police are investigating driver behaviour, including high-speed overtaking by light vehicles in unsafe sections, with additional mobile enforcement and speed detection commencing from 17 August.

Industry also raised concerns about a lack of clarity regarding the compensation arrangements available to businesses affected by the closure, with a disconnect between the government-established scheme and industry’s understanding of how costs can be recovered.

A further congestion risk has been flagged for Monday, 12 October, when the Bathurst Supercars bump-out will coincide with the first day of the school term. Heavy traffic is expected across the affected section of the highway, with industry encouraged to factor the increased congestion risk into freight planning.

As at 12 August, 186 confirmed H5 events had been recorded in wild birds nationally, with most detections in South Australia and Victoria. Tasmania has now recorded its first detection, while Western Australia, Queensland and New South Wales continue surveillance and response activity. Importantly, there have been no detections in poultry or mammals to date.

Governments are progressing a targeted vaccination approach for high-priority captive native bird species, alongside strengthened surveillance, biosecurity preparedness and planning for potential impacts on the poultry sector.