Australia's livestock and rural transporters have welcomed a billion-litre national fuel reserve but warned the Federal Government the measure will only matter if diesel reaches the regions when supply fails.
The Australian Livestock and Rural Transporters Association backed the Government's $10 billion-plus fuel security package — including $3.2 billion for a government-owned reserve and $7.5 billion for a fuel and fertiliser security facility — but said the test was whether it worked outside the capital cities.
"Regional Australia runs on diesel," ALRTA National President Gerard Johnson said.
"Our members move livestock, grain, feed, fertiliser and farm supplies across long distances every day. When diesel runs short, animals do not move. Feed does not move. Farm goods do not move."
Mr Johnson said livestock and rural transport must be designated as essential users under any drawdown arrangement, with clear rules governing how the reserve is accessed during shortages.
"Fuel must be where rural operators need it," he said.
"These are not optional trips. They are part of Australia's food supply chain."
The package includes higher stockholding obligations designed to support at least 50 days of diesel and aviation fuel supply and storage.
"The Government has made the right call. A strategic national reserve is long overdue and ALRTA commends the commitment to getting it done," Mr Johnson said.
ALRTA also cautioned against costs falling on small and family-owned transport businesses.
Mr Johnson said the association supported stronger fuel security, provided it was built for regional operators and did not impose extra costs on the businesses that keep rural supply chains moving.
"Fuel security is food security," he said. "It is also regional security and national productivity."
