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Minister talks up strategic petroleum supply
By Anthony Colangelo
Energy minister Angus Taylor has begun planning an Australian strategic petroleum supply to take advantage of cheap fuel.

Fuel prices are low partly because of the coronavirus pandemic.

The fuel would initially be stored internationally but once the plan was developed fully and storage was available, Mr Taylor said, the fuel would be stored in Australia. The United States hold their strategic petrol supply underground, for example.

“This is a historic opportunity, we are seeing oil prices even going negative yesterday,” Mr Taylor told 3AW.


“We have allocated an initial $94 million [in funding to explore setting up the storage] … you can be confident despite disruptions that happen from time to time there will be enough fuel available [as a result].

“Holding them in America for the short term is a very viable option.

“This is the time to build a strategic petroleum reserve.

Mr Taylor said Australia currently holds between 50 and 80 days of petrol in the supply chain, but wants that level to be lifted to always above 90.