Originally published by John Rolfe of Adelaide Advertiser
25.03.2026
Petrol pumps will cut out when motorists buy as little as $40, under dramatic rationing measures revealed in an emergency response manual the government can use if the fuel crisis worsens.
It comes as mining magnate Gina Rinehart has called on the federal government to stop treating petrol and diesel as a “luxury purchase” by slugging consumers with a 52c per litre excise tax, despite the oil shock.
The playbook for how federal government responds to the oil shock from the Iran war includes allowing high prices to curb demand, warns businesses to plan for halving supply and tells drivers to accelerate gently and axe aircon.
The harshest measure in the manual – unearthed via freedom of information laws – is a daily “total transaction limit” set by the federal Energy Minister Chris Bowen.
The document uses an example in which the cap for refuelling is equal to 16 litres of
fuel at current prices. The limit would first be proposed by the National Oil Supplies Emergency Committee (NOSEC), including the federal and state energy ministers, ExxonMobil, BP and Ampol.
The implementation example states: “A $40 ‘total transaction value’ limit was recommended by NOSEC and agreed by the Minister. The department, states and territories, communicates the limit, through a media statement.
Retail sites authorise a $40 limit on all pumps. Motorists visit a retail site, fill their tank to the $40 limit or less before the pump switches off and then pay at the bowser through a preset facility, or at the counter.”
The manual does not refer to penalties if motorists go to multiple stations the same day.
Purchases by “essential users” such as ambulance drivers, police, fire firefighters and taxis would not be restricted.
Ms Rinehart, Australia’s richest person, on Tuesday said: “Fuel is not a luxury purchase, but it is taxed like it is.
“It is an essential input into daily life and into almost every sector of the economy.
“Higher fuel costs do not just affect motorists, they push up the cost of transporting goods, running farms, operating many small businesses and delivering services.”
Mrs Rinehart warned the government tax addiction, including fuel excise taxes, risked spiking inflation across the economy when consumers and businesses could least afford it.
“When Australians are under real financial pressure, the priority should be relieving
the burden, not increasing it.
“For the average driver, removing the excise would save around $2000 a year – money they pay after they’re already taxed.”
Cutting the fuel excise tax also has precedent, with the Morrison government halving it for six months in 2022 during the Covid pandemic.
