Letter from Australia: Downstream rescue package may be wishful thinking
The Canberra government has tried to throw the country’s refineries a financial lifeline in an existential struggle
Australia’s fuel demand has been sent spiralling down by Covid-19’s impact on the economy, with GDP contracting in the second quarter by 7.1pc. One of country’s four remaining refinery operators, Viva Energy, warned in early September that without government help it would likely have to permanently shut operations at its Geelong facility in Victoria. And the mounting pressure on the industry prompted Australian prime minister Scott Morrison to announce a mid-September series of incentives to be rolled out in the 2020-2021 budget. The rescue package aims not only to help the industry survive the current downturn, but also to improve its long-term economic viability. But it is not immediately
Also in this section
24 April 2026
The European Commission’s response to the Middle East crisis is to double down on its transition strategy, with plans for a new target on electrification
24 April 2026
A major new discovery by Eni and BP that can likely be fast-tracked to production is welcome news for Egypt as it scrambles to plug a widening supply gap and deal with rising import risks
24 April 2026
Countries in the region are turning to the cleaner-burning fuel for power generation, driving demand for imports
24 April 2026
The US has used booming shale production to massively expand its LNG infrastructure, but Canadian developments have not fare so well while in South America consumption outstrips production
