Refinery Fire Renews Fuel Security Concerns for Grain Sector

A recent fire at a Victorian refinery has renewed concerns about Australia’s fuel security, with Grain Producers Australia warning it highlights ongoing exposure in key supply chains.

The incident at the Viva Energy refinery in Geelong comes as growers prepare for seeding, with input costs and availability already under pressure.

Grain Producers Australia Research, Development and Extension Spokesperson Andrew Weidemann says while there has been no immediate disruption to fuel supply for growers, it highlights the reliance on a small number of domestic refineries and imported supply.

“When one of the two facilities we have in Australia experiences disruption, it puts a spotlight on how much we rely on a small number of domestic assets, alongside imported supply,” he said.

He says the issue is being compounded by global instability, including conflict in the Middle East, which continues to affect energy and fertiliser markets.

He says strengthening domestic refining capacity would improve resilience, reduce reliance on imports and support long-term certainty for the nation’s $26 billion grains industry.

Grain Producers Australia says it will continue engaging with the Federal Government on fuel security, supply chain resilience and domestic manufacturing capability.