SYDNEY, April 18 (Reuters) – Australia extended an easing on fuel-quality standards until September, Energy Minister Chris Bowen said on Saturday, as the nation grapples with the impact of the Iran war on its fuel supply.
“I’ve decided to extend the period of higher sulphur for petrol in Australia,” Bowen said in televised remarks.
The relaxation, announced in March, increases the amount of sulphur permitted in fuel to 50 parts per million from the usual 10 parts.
Australia, which imports most of its fuel, has experienced localised shortages as the war, which entered its eighth week on Saturday, has disrupted supply chains.
Production of diesel, jet fuel and petrol at a fire-hit oil refinery owned by Viva Energy (VEA.AX) in Victoria, Australia’s second-most-populous state, remained unchanged from Friday, Bowen said.
“The Geelong refinery is working at 80% capacity for diesel and jet fuel and 60% capacity for petrol – that is still the case,” he said.
Australian Prime Minister Anthony Albanese said on Friday the fire would not trigger any fuel restrictions.
Also this week Albanese secured a deal with Malaysian state energy firm Petronas to supply excess fuel to Australia after trips to Singapore and Brunei aimed at strengthening energy supplies.
(Reporting by Sam McKeith in Sydney; Editing by William Mallard)
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