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Fuel crisis hits Australia's trucking sector hardest
Australia is grappling with a severe fuel shortage, driving petrol and diesel prices to record highs. The trucking industry, reliant on diesel for long-haul transport, faces unprecedented cost pressures as prices more than double since the conflict in Iran escalated global oil markets.
Prime minister urges fuel conservation
In a rare national address, Prime Minister Anthony Albanese acknowledged the uncertainty but assured Australians the government would navigate the crisis. He called on citizens to conserve fuel by using public transport where possible, reserving supplies for essential drivers. His appeal, however, offered little relief to truck operators already stretched thin.
Operators face soaring costs and cash flow crunch
Aaron Fischer, owner of a trucking company in Howlong-a border town between New South Wales and Victoria-described the financial strain. Before the crisis, filling his tank cost A$3,600; now, it exceeds A$7,500. Monthly fuel expenses have surged from A$150,000 to A$300,000, with payments due before clients settle invoices, typically 60 days later.
"I was laying in bed the other night with my laptop, just running through numbers. I need to know what I've got coming in and going out to make sure my maintenance bills are right, my fuel bills are fine, my tyre bills are good."
Aaron Fischer, trucking company owner
Diesel shortages disrupt cross-country routes
Fischer's fleet traverses the Nullarbor Plain, a 1,200km desert stretch with sparse fuel stations. Reports of diesel shortages along the route have forced drivers to reroute, adding hours to already grueling trips. His trucks, carrying loads from heavy machinery to bottled water, consume up to 2,500 litres per trip, with costs fluctuating based on cargo weight.
National diesel prices have climbed to 312.7 cents per litre, up from 180.2 cents before the war, while petrol prices rose from 171 cents to 240.1 cents, according to the Australian Institute of Petroleum.
Government aid falls short, operators say
The federal government announced A$1 billion in interest-free loans for transport, freight, and fuel producers. Critics argue the measure fails to address immediate needs. Alex Randall of freight carrier Loadshift called the loans "still debt," noting that small operators, already burdened by canceled jobs, cannot afford additional liabilities.
"If you're a small carrier whose fuel bill has just doubled and your customers are cancelling jobs, the last thing you need is more on the books."
Alex Randall, Loadshift
New and veteran drivers feel the squeeze
William Hawkes, who launched his trucking business three months ago, has had to re-quote jobs, raising prices by a third. His company transports excavators to flood-hit areas and modular homes across the country, with fuel consumption reaching 1.2 litres per kilometer for wind-sensitive loads. A recent 5,300km trip from Bendigo to Broome faced delays after rerouting to avoid fuel shortages.
Veteran driver Terry Snell, 68, has reduced his workload from weekly to fortnightly trips, citing razor-thin profit margins. A recent Perth-to-Brisbane haul cost A$18,000-double the pre-crisis rate. Snell warned of a looming supply chain collapse if prices remain unchecked.
"There's a massive shortage of trucks at the moment because a lot of blokes have just stopped running... they can't afford to."
Terry Snell, lorry driver
Industry warns of broader economic impact
Michael Webb, a 33-year-old driver, emphasized the trucking sector's critical role in Australia's economy. Every consumer good, from food to clothing, relies on trucks. Without urgent support, operators fear widespread job losses and delayed deliveries, exacerbating the crisis.
"Everything that you get has come off a truck at one point-whether it's your food, your drinks, the shirt you're wearing, the phone you're using."
Michael Webb, lorry driver
