A fire at a major oil refinery in Geelong has raised concerns about Tasmania’s fuel vulnerability, with the local manufacturing council saying the facility supplies “almost all” of the state’s petroleum needs.
The blaze at the Viva Energy refinery in Corio broke out around 11pm on Wednesday after a gas leak triggered an explosion, according to Fire Rescue Victoria.
About 50 firefighters responded to multiple reports of explosions.
All workers were accounted for and no injuries were reported.
The Geelong Manufacturing Council website states the facility is “one of the largest oil refineries in the Southern Hemisphere” and “provides half of Victoria’s petroleum fuel and almost all of Tasmania’s requirements”.
Federal Energy Minister Chris Bowen told the ABC the fire would have an impact on production, with petrol the most affected.
“The major impact at this point appears to be more on petrol production,” Bowen said.
The refinery was still producing diesel and jet fuel “at reduced levels, as a precaution”, he said.
Viva Energy chief executive Scott Wyatt told the Australian Financial Review the refinery had dropped to minimum output and would only ramp up once it was safe to do so.
“We’ve still got work to do to contain and extinguish the fire, make it safe, understand what damage has occurred and understand how we can safely restore production,” Wyatt said.
The Geelong refinery is one of only two still operating in Australia.
It produces about 10% of the nation’s fuel and more than half of Victoria’s, according to Viva Energy.
The full extent of the damage is still being assessed.
In Tasmanian parliament on Thursday, Deputy Premier Guy Barnett said Tasmania’s fuel supply was “currently secure”.
“We are undertaking a rapid impact assessment,” he said.
“Viva’s initial assessment is that there is no immediate impact on fuel supplies.”
Barnett said delivery schedules for April are “in line with normal arrangements”, while “a number of shipments are expected in May” are having their details confirmed.
He said Tasmania was at level two under the national fuel plan and the government was looking at increased storage capacity at Selfs Point.
Labor leader Josh Willie said the government had not outlined a contingency plan if conditions worsened.
“You have not told Tasmanians who will be prioritised, how supply will be managed or what happens if fuel shortages worsen,” he said.
“If fuel supply tightens in the coming weeks, what is your government’s plan?”
The fire comes amid broader global fuel disruption linked to conflict in the Middle East and the closure of the Strait of Hormuz.
