The Tasmanian government is planning new laws that would let it cap fuel prices and punish companies that fail to report supply levels, as conflict in the Middle East pushes petrol past $2.90 a litre.
Premier Jeremy Rockliff told parliament on Thursday the legislation would strengthen emergency powers, extend restriction periods and allow temporary fuel price caps.
“It enforces clearer rules for fuel companies to report on supply levels and introduces penalties should they fail to do so,” he said.
The bill’s details haven’t been released yet.
Rockliff said the global crisis was hitting the state hard, with tourism cancellations rising and freight surcharges increasing by up to 50%.
“These costs ultimately reach consumers, affecting the price of goods across the state,” he said.
He urged Tasmanians not to panic buy, saying suppliers had confirmed there was “sufficient fuel on island and more on the way”.
The government has written to the Australian Competition and Consumer Commission (ACCC), urging it to monitor for price gouging and has called on the federal government to cut fuel excise.
“We urge them to move with greater pace and clarity,” Rockliff said.
Unleaded is currently selling for up to $2.91 a litre in Tasmania, with diesel hitting $3.30.
Prices have surged roughly 35% for petrol and close to 50% for diesel in just weeks.
The state holds about 57 days’ worth of petrol supply, though some panic buying has been observed.
Labor leader Josh Willie offered bipartisan support but warned the state’s finances were already under strain.
“I seriously worry about the cost of living in Tasmanian households and their capacity to weather this and how long this will go on,” he said.
“Our state finances have never been worse. And we’ve got Treasury saying that the state’s capacity to deal with these sorts of global challenges and shocks is limited.”
He likened the disruption to the early days of COVID.
Fuel outages will soon be reported on the FuelCheck Tasmania app, with the bill expected to be introduced in coming days.
