SYDNEY, March 25 — Australia's centre-left government has introduced legislation in the parliament to double penalties for fuel price gouging as global supply disruptions due to the Iran war triggered fuel shortages in some rural regions.
Last year, it imported 84 per cent of its petroleum product demand, government statistics show, leaving it exposed to global shocks. Supply fears have stoked panic buying, doubling fuel demand in some areas, despite government assurances that the market is well supplied.
Treasurer Jim Chalmers said the proposed Treasury Laws Amendment Bill 2026 would impose fines of up to AU$100 million (RM276.14 million) for false or misleading conduct and cartel behaviour.
He added that companies must not use the overseas conflict as an excuse to raise prices, urging Opposition lawmakers to back the bill.
"We are not immune from uncertainty and volatility in the global economy, but this action is all about protecting consumers and holding petrol suppliers and retailers to account," Chalmers said on Wednesday.
The legislation follows last week's investigation by Australia's competition regulator into alleged anti-competitive conduct by major fuel suppliers, including Ampol ALD.AX, BP BP.L, Mobil Oil Australia XOM.N, and Viva Energy VEA.AX, which operates Shell and Liberty fuel stations.
ABC News reported that over than 100 service stations across Victoria state ran out of petrol on Tuesday, citing the state's Energy and Resources Minister Lily D'Ambrosio.
Similarly, The Sydney Morning Herald newspaper reported that in New South Wales, Australia's most populous state, 165 stations were without diesel on Tuesday and 298 lacked at least one type of gasoline.
The Labour government has said it would release petrol and diesel from domestic reserves and temporarily loosen petrol and diesel quality standards to increase supply.
