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The Maritime Union of Australia has warned that the ongoing, escalating US–Iran war will expose Australia’s fuel insecurity crisis, with the consequences affecting everyday working Aussies.
The Maritime Union of Australia (MUA) has pointed out that the closure of the Strait of Hormuz, a critical global oil shipping route, signifies Australia’s reliance on foreign supply and the need for sovereign fuel supply.
“The closure of the Strait of Hormuz during the recent attacks on Iran is a stark warning of the volatility of Australia’s access to global fuel supply chains,” said Jake Field, MUA’s national secretary.
“We mustn’t gamble our economic stability on uninterrupted access to foreign fuel markets.
“We cannot assume that geopolitical tensions will always resolve before our reserves run dry.”
The Strait of Hormuz is a mere 55-kilometre wide transit point between Iran and Oman that is responsible for transporting one-fifth of the entire world’s oil delivery.
Every day, over 12 billion barrels of oil go through the strait, about 31 per cent of the global daily fuel output.
This strategic region can majorly affect global fuel access and prices, a point that the MUA is using to push government action.
The union, which is made of workers in shipping, port and offshore oil sectors, said that for too long, the successive federal governments have offshored fuel reserves rather than “stockpil[ing] at home”.
“Despite once being a nation capable of refining and transporting its own fuel, Australia has been reduced to being a price-taker in a volatile global market,” the union said in a press statement.
“Without secure and accessible supplies, supermarket shelves will wind up bare, transport will grind to a halt, regional communities will be cut off and emergency services will be compromised.”
MUA is calling on the federal government to “act decisively and urgently” by rebuilding onshore fuel storage facilities and limit the international reliance on fuel imports.
“We must realise the commitment of an Australian flagged and crewed strategic shipping capability that can guarantee delivery of essential energy supplies in times of crisis,” Field said.
“Fuel security must be recognised as a pillar of national security, economic policy and social stability.”
