Australia to subsidise remaining refineries

Concerned about supply security, Australia plans to fund its last two refineries standing for at least the next six years.

Australia has passed legislation intended to keep its remaining oil refineries open for at least another six years. The Fuel Security Bill 2021 includes fuel security services payments (FSSPs) “to support refiners during loss-making periods and enable them to continue refining until 30 June 2027”. The bill will “lock in the future of the refining sector”, make fuel supplies more secure and protect jobs, the Department of Industry, Science, Energy and Resources says. Refineries will start to receive payments for the production of key fuels from 1 July this year. The bill also includes a minimum stockholding obligation (MSO) for fuel importers and refiners to maintain reserves of petrol, diese