Iranian state media has taken aim at Australia’s recent fuel shortage, highlighting the plight of numerous service stations left without petrol or diesel. The Albanese government has attributed the scarcity to panic buying.

Tasnim News Agency, which is closely linked to Iran’s Islamic Revolutionary Guard Corps, circulated footage of a Gold Coast petrol station completely out of fuel alongside a sneering caption.

A post from Iran gleefully declared, “Gasoline and diesel are running out in Australia!” It went on, “Hundreds of gas stations in Australia have completely depleted their gasoline and diesel reserves.”

This jab from Iran coincides with reports of fuel shortages at over 500 service stations across Australia. Many stations are now out of at least one type of fuel, as Iran continues to create disruptions in the Strait of Hormuz. This crucial maritime passage is responsible for transporting around 20% of the world’s oil supply.

In New South Wales, 187 service stations have run out of diesel, and an additional 32 have no fuel at all. This marks a small improvement from the previous day, with 19 fewer stations affected.

Queensland is also feeling the pinch, with 55 stations lacking diesel and 35 unable to offer regular unleaded fuel.

In Victoria, 134 service stations are short on one or more grades of fuel, while in South Australia, 49 stations are experiencing similar shortages.

Western Australia has six stations completely out of stock and another four without diesel. In Tasmania, one service station is without diesel and six have no unleaded. 

Iranian state media Tasmin (pictured) mocked Australia’s fuel crisis on social media 

Iran’s new supreme leader, Mojtaba Khamenei

No shortages had been reported in the Australian Capital Territory as of yesterday afternoon.

Despite the widespread outages, the affected sites represent only about eight per cent of all service stations nationwide.

Energy Minister Chris Bowen has repeatedly insisted the shortages are being driven by a sudden spike in demand caused by panic buying, rather than a collapse in supply.

‘We have as much fuel in Australia today as we had on the day Iran was attacked. We have had real issues, particularly in regional Australia, getting fuel to where demand has been very high,’ Bowen said.

‘We’ve seen very big spikes in demand. Some of that has been panic buying. Some people are trying to get ahead of expected price rises. Some farmers are stocking up, which is understandable.

‘But the fact is, if demand suddenly jumps dramatically, whether it’s for petrol, diesel or even toilet paper, supply chains come under pressure.’

He said Australia had received all expected fuel shipments so far, although six deliveries scheduled for April had been cancelled, with some replaced by alternative sources as tensions in the Strait of Hormuz continue.

He said 74 of the 80 fuel shipments expected across April and May were still on track to arrive.

Energy Minister Chris Bowen has repeatedly insisted the shortages are being driven by a sudden spike in demand caused by panic buying, rather than a collapse in supply

If the conflict drags on for several more weeks, Bowen said contingency plans are in place to manage supply risks but rationing remains unlikely.

‘We have also said there are international supply risks going forward, but we are pretty well placed to deal with those risks. There is a range of actions available to government. Rationing would be an absolute worst-case planning measure. It’s not on the agenda.’

Bowen also ruled out a controversial $40 fuel purchase cap, outlined in a 2019 national emergency response fuel shortage , which has resurfaced in recent days as one of the possible responses governments could consider if supplies were severely disrupted.

‘To introduce something like that, you would have to declare a national fuel emergency, which has never been done. I’ve already said I don’t envisage doing that. So it’s really not on the agenda.

Some of the other measures in the fuel shortage plan focus on cutting demand before rationing kicks in.

These include urging motorists to car-pool, adopt ‘eco-driving’ habits such as smoother acceleration and using less air-conditioning, and encouraging businesses to prepare contingency plans for a potential halving of their fuel supply.

Fuel prices have soared, with the average price of 91 at 253.9c and diesel at 305.7

Out of order signs cover fuel pumps at a petrol station in Sydney

The document also says government could allow higher fuel prices to help curb consumption, on the basis that reduced supply would naturally push prices up and discourage unnecessary travel.

Bowen said: ‘Public restraint, public information campaigns and requesting people to save fuel would be the first step, and that only after that would any further actions be considered. I made clear yesterday, I think we’re a long way from that.’

Meanwhile, Treasurer Jim Chalmers has warned that the financial impacts of the ongoing war in Iran could be worse than Covid and the Global Financial Crisis.

He told 100 business leaders on Tuesday night that the end of the war ‘can’t come soon enough’.

He also made a startling admission that predictions made last week about the local impact from the Middle East crisis may be too conservative.

Oil prices are now higher than previously forecast, with more industries set to be hard hit.

‘This is the fifth big global economic shock in less than two decades, it could be just as serious as the four before it,’ Chalmers said.

‘We are well placed and well prepared, but we will be buffeted.

‘Two things matter most here, how long the war lasts but also how long it takes to get the global economy back on track after it ends.

‘We’ve seen the positive market response from speculation about US negotiations with Iran and from an economic point of view it’s clear the end of the war can’t come soon enough.’