Australia Faces Fuel Security Crisis Following Strait of Hormuz Closure
The Maritime Union of Australia (MUA) urges the Federal Government to rebuild sovereign fuel reserves and domestic refining capacity. Following conflict in the Strait of Hormuz, the Union warns that Australia's reliance on foreign fuel markets threatens the economy, freight and essential services.
Canberra - The Maritime Union of Australia (MUA) has issued an urgent directive to the Federal Government, declaring that the recent effective closure of the Strait of Hormuz has exposed a dangerous and indefensible crisis in Australia’s national fuel security.
In a statement released following escalating international conflict and attacks on Iran by the United States and Israel, the Union argued that Australia’s reliance on foreign-owned tankers and offshored reserves has left the nation’s economy and essential services vulnerable to global supply shocks.
MUA National Secretary, Jake Field, characterized the volatility in the Middle East as a definitive wake-up call for Canberra, noting that a fifth of the world’s oil passes through the now-contested maritime corridor.
Jack Field
“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,” Field stated.
“We mustn’t gamble our economic stability on uninterrupted access to foreign fuel markets,” he said.
The Union warned that a failure to secure fuel supplies would have immediate domestic consequences, leading to bare supermarket shelves, the halting of freight and construction and the compromise of emergency services.
The MUA pointed to a systemic failure by successive governments to maintain domestic refining and storage capabilities.
The Union specifically criticized the former Liberal–National Coalition for "offshoring" strategic reserves, spending public funds to store fuel overseas rather than building sovereign stockpiles at home.
The union said Australia currently imports the overwhelming majority of its refined petrol and diesel and for years, Australia’s fuel buffer fell short of the 90-day minimum obligation set by the International Energy Agency.
Field said the steady closure of domestic refineries has reduced Australia to a "price-taker" in a volatile global market.
To mitigate the risks, the MUA is calling for a radical shift in national policy, treating fuel security as a core pillar of national defense and social stability.
The Union’s proposed recovery plan includes rebuilding onshore storage capacity that exceeds international minimums and expanding domestic refining to reduce reliance on finished fuels from abroad.
“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 added.
The Union maintains that as a major energy exporter, Australia’s inability to guarantee its own internal fuel supply is a dereliction of national responsibility.









