Press conference - Port Botany

PAUL AUGÉ, PRESIDENT, BP AUSTRALIA: Thank you, Prime Minister Albanese and Mr Bowen. It's great to be here today. Today's announcement is all about making sure that Australia has the fuel it needs when it needs it, and also at a time of increased uncertainty and volatility. Thank you, Government, for the responsiveness that they have demonstrated. And the work with the EFA is a demonstration of the Government's action to make sure Australia has the fuel it needs. BP, with partnership, obviously, with the EFA, has access to incremental cargoes that will be arriving here to Port Botany and also into Perth in Kwinana over the next few months. This is on top of five cargoes that we'll have coming to NSW before the end of May to ensure that we have the right supply to the state, on top of a normal import program that we have coming to Australia, which will have around 60 cargoes coming over the next few months. The facility and the partnership with the Government through the EFA is really allowing us to bring additional cargoes to make sure Australia has the fuel it needs when it needs it. Behind us, don't forget, there's a vessel that is coming all the way from the US, from our refinery in Cherry Point in Washington State, which again demonstrates the resilience of our supply chain that we have here in Australia through our global network and global partnerships. Again, I want to thank the Prime Minister and the Government for the responsiveness and also the collaboration with the industry, both through the release of the MSO and stockholdings, also through this facility with the EFA and also through the support that they are providing to the local supply chains across Australia through the National Reconstruction Fund. With that, thank you.

MATT THISTLETHWAITE, FEDERAL MEMBER FOR KINGSFORD SMITH: Thanks, Paul. Good morning, everyone. Welcome to Port Botany. This is the gateway to Sydney and NSW's fuel supplies. Tankers come in and hook up either over there at Kurnell, or here at the Vopak terminal, to supply petrol, diesel and aviation fuels to the Sydney market and broader NSW. And as you can see, we've got a tanker hooked up at the moment offloading their stock to go out to the market here in Sydney. But we know that the longer this conflict goes on, the greater the potential it will have to destabilise fuel supplies. And of course, we know that Australian consumers and motorists have been feeling the pinch of the war in the Middle East. And that's why our Government has been acting on a daily basis to do all we can to secure Australia's supplies of fuels in the coming months and beyond. And I want to thank the Prime Minister and Minister Bowen for their incredible work, day in, day out, doing their bit to ensure that we lead the nation and supply that vital security fuel for the future of our country. And this announcement that we're making today is another part of that important national fuel supply plan that the Albanese Government has put in place. So, I thank the Prime Minister and I thank Minister Bowen for coming out here to Port Botany. I want to thank Paul and the team at Vopak and of course Ports of NSW for providing this infrastructure and ensuring that locals in my community continue to be employed in this vitally important industry. I'm now going to hand over to the Prime Minister to make this important announcement.

ANTHONY ALBANESE, PRIME MINISTER: Well, thanks very much, Matt. It's great to be in your electorate as a neighbour of yours here in Sydney. And I want to thank Paul as well, the President of BP Australia, for the work that they've done to collaborate with the Government in the interests of Australians. And here at this port, of course, this is one of our primary gateways for international trade. About a third of NSW fuel comes right through this port and it is so important for us. And we see behind us one of the ships containing fuel that will help to keep Australia moving, which is the theme of Level 2, which is where we have determined as National Cabinet, we are making sure that we conserve fuel in a sensible way wherever possible, on a voluntary basis. Making sure that we're conscious of the need to look after each other, but as well making sure that the Government does everything within our power to shield Australians as best as possible from a conflict on the other side of the world that is impacting the populations of every country in our region and indeed every country right around the world, by the pressure it's putting on fuel prices, but importantly as well the pressure that it's putting on supply. We will continue to use every measure at our disposal to make a difference as we go forward and into the coming period. And today, I'm very pleased that Export Finance Australia has been able to work with businesses to secure four additional cargoes of diesel for Australia. Combined, a new additional 200 million litres of diesel for use in Australia. Two agreements through BP and two through Viva. These cargoes coming from South Korea, two of them, one from Brunei and one from Malaysia. Two destinations where I visited last week and partners where we're working very closely in the interests of Australians going forward. Our work continues with Ampol, Park Fuels, IOR and other fuel supplies to secure additional fuel supplies in the coming days and weeks. In addition to that, we're working with Incitec Pivot and CSBP on securing fertiliser for Australian farmers. And last night, I was able to talk with President Prabowo to thank him, the Indonesian President, for the 250,000 additional tonnes of fertiliser that we've been able to secure. What we're doing each and every day is working in the interests of Australians. I think Australians know, they see it on their TV every night, that we're in a very volatile environment. There are different announcements each and every day and sometimes across just a number of hours, about what is going on in the Middle East. We can't control all of that because we're not participants in that conflict. What we can control is, is how we respond. And we're responding by throwing everything at it, everything at supply, to make a difference as well as the difference that we've made to price by the cutting of fuel excise, which has made a difference, reducing the price directly by that 32 cents per litre. I'll call upon the Minister and then we're happy to take questions.

CHRIS BOWEN, MINISTER FOR CLIMATE CHANGE AND ENERGY: Thank you very much, Prime Minister. Well, as the Prime Minister said weeks ago, the Government decided that we needed to intervene to ensure that Australians had access to the cargoes that are available around the world, but in a very risky and volatile economic environment. And today we're announcing the next steps, building on the Prime Minister's announcement from Malaysia last week, that we had secured 100 million litres of diesel. Today, another 200 million litres to build on that coming from Brunei, from Malaysia and from South Korea. Partnering with Viva and with BP and I want to thank Paul and Scott Wyatt, the chief executives of BP and Viva, who we're talking to every day, several times a day often, as we navigate this crisis together, to make sure that Australians have the very best possible access. So, these four cargoes will come through by the last week in May or the first week in June. 50 million litres each, slightly more for BP, 52 million litres on one cargo, but a total of just over 200 million litres going to Brisbane, to Geelong, to here in Sydney and importantly to Kwinana in Perth. And, as agreed, also focusing that extra supply, this is extra supply, this is what BP and Viva and the other companies would do in their normal course of business. They're doing that just every day with the 61 ships on their way to Australia as we speak. But this is extra supply to give us an extra buffer. The Government intervening and working with BP and Viva and the other companies and focusing that extra supply on the regions where we have faced very significant demand for diesel. And we need to keep up with that demand and we need to ensure that Australians in regional areas in particular know that that diesel will be there, which they need for their agricultural purposes and for getting around regional Australia. This Government is working very closely in the most volatile and unpredictable international circumstances imaginable to ensure that Australia is best, possibly placed. Yesterday, I convened the State and Territory energy Ministers for a meeting on this crisis internationally to make recommendations to First Ministers through National Cabinet. So, we're in constant contact with the states as well as with private industry, and we're working together, as you'd expect, as Australians would wish, across the board, to ensure that we are as best placed as possible. Thanks, Prime Minister.

JOURNALIST: [INAUDIBLE]

PRIME MINISTER: Well, what we're doing is providing additional supply. That's what this 300 million litres of additional supply we've achieved in the last seven days has done. We've already reported that of the six ships that were due to come in April, that were not coming, they were more than replaced by nine additional shiploads of fuel. What we're doing is continuing to do everything we can to secure as much supply as possible going forward. You can see behind us one of the regular arrivals. There are 61 ships on the water at the moment on their way to Australia. But these additional shiploads will help to secure that supply further into the future.

JOURNALIST: Prime Minister, on the gas tax levy question, you've spoken with WA Premier Roger Cook regarding this? That's what he said. Are you looking at a gas tax on exports? What reassurances have you given to the WA Premier?

PRIME MINISTER: Well, I speak to Roger Cook all the time and I'll speak to every Premier tomorrow. Our concentration is on supply. That's what we're focused on. On fuel security here in Australia. But our Budget will be handed down on May 12th, and everyone will see everything that's in the Budget there.

JOURNALIST: Prime Minister, there's a commentary about 100 million litres of fuel amounts to about a day, and there's been some criticism that this is a bit of political theatre in terms of these announcements. What's your response to that?

PRIME MINISTER: I think it speaks for itself. I don't know what you think, but do you think we should have secured an additional 200 million litres that we're announcing today? Do you think we should have delivered an additional 300 million litres over the last seven days through Export Finance Australia, and working with the private sector. Always look at the counterfactual. We could be sitting back. We could be sitting back being critical, or we could be out there working hard in the interests of Australians. We take the second option, to be out there working hard in the interests of Australians that I think that you yourself would recognise. Unless you want to tell us that's a bad thing, what we're announcing today, then, I think it is positive going forward, the work that we've done, just as I'm sure farmers will appreciate the 250,000 additional tonnes of fertiliser that we've been able to secure as well.

JOURNALIST: Will you be looking for any additional commitments from state and territory leaders at National Cabinet this week?

PRIME MINISTER: Look, it will just be an update. Tomorrow we'll meet. We're going to meet regularly during this period as well. It's important that state and territories be informed, and it's important that we work together as a nation at what is a very difficult and challenging time for the entire world.

JOURNALIST: Would you like to see a bigger return to Australians for non-contracted gas and new projects?

PRIME MINISTER: Well, we will have a Budget on May 12. People will say that. My concentration at the moment, my focus is on what we're doing here today, which is all about security of fuel supply.

JOURNALIST: Prime Minister, Jim Chalmers said earlier this week that the NDIS would be a key part of the Government's Budget savings. Will you commit to reinvest those savings into other social services and health programs?

PRIME MINISTER: I see the NDIS not as a fiscal position. The important thing is that it deliver what it was intended to do, looking after people, Australians with disabilities, making sure they can fully participate in society. Now, the growth rate when we were elected to office was 22 per cent. That quite clearly, 22 per cent growth annual is unsustainable for any program. And what's important is that it be made sustainable because it's too important to be undermined in terms of confidence in the scheme. And a range of the reports which have been out there show that there has been some abuse of the system. What we want to do, though, is to make sure that Australians with disability, who the NDIS was aimed at, continue to receive really important support so that they can fully participate in society.

JOURNALIST: Do savings, though, from the NDIS, will they be banked? Will they be reinvested?

PRIME MINISTER: We have a Budget on May 12. I hope you attend.

JOURNALIST: Just on the Capital Gains Tax. In 2024, you said that government analysis showed that changes to investor tax settings, negative gearing and capital gains would reduce housing supply. Has that analysis changed?

PRIME MINISTER: We have a Budget on May 12. I encourage you to attend as well. It's not that long away now. Three weeks. Less than three weeks. Less than three weeks away and we'll hand down our Budget, then people will be able to see - our concentration has been, when it comes to housing issues, has been on supply. That's why even in recent days we continue to announce arrangements with State and Territory Governments to increase that housing supply. We'll continue to do so. One of the areas of neglect, just one of the areas of neglect of the former government was on housing. They didn't even bother to have a Federal Housing Minister for a lot of the time in which they were in office. As a direct result of their neglect, we've been doing our best to increase supply through the range of measures which we've introduced. The range of measures have included increased spending on public housing, increased capacity for people to get into private housing through shared equity, the five per cent deposits, which have meant that over 200,000 Australians have been able to get in their first home, the Build To Rent schemes that have encouraged the private sector to build private rentals, the programs through local government that are provided for infrastructure so that things like water and roads and energy connections that have enabled new developments to occur. And the work we're doing with State and Territory Governments on planning approvals where we want to see, we want to see more housing more built quicker because that is the key to housing issues. But we'll look at the full range of issues as Labor Governments do, and we'll always look at intergenerational equity as well.

JOURNALIST: Prime Minister, just on the NDIS, the states say that what the government is seeking to do is [inaudible] the states, do you think that is a fair characterisation?

PRIME MINISTER: No.

JOURNALIST: Prime Minister, just back to fuel - your average driver right now would probably be feeling slightly better. Purchase prices have been coming down. Supply doesn't seem as much as an issue. But given the uncertainty, the Strait of Hormuz, ceasefire talks, the talks about ceasefire, are we being lulled into a false sense of security?

PRIME MINISTER: Well, there is - there is a great deal of volatility and I think that Australians can see that volatility in what is occurring in the Middle East. Now, the longer this conflict goes on, the greater the impact will be and the longer the economic tail will be of the result of this conflict. Now, there are the ships that are stuck in the Strait of Hormuz is one issue, but secondly as well, it's about, often about 30 days of travel from the Straits to a destination in Asia, that then has to unload and the ship to go back to be filled again with supply and then to travel back again. So, what you're talking about is that long tail. You're also, it's unclear how much infrastructure damage has been occurred in the Gulf as well, that will have an impact. So, we're being very clear about the consequences of this volatility. What we can do here in Australia is to do everything we can to secure supply. That's precisely what we are doing. We also, diplomatically, have continued to call for a de-escalation. We've continued to work with partners as well, participate in discussions. Last night, I had discussions with President Prabowo, had discussions with the Prime Minister of the Netherlands. I have other calls scheduled over coming days, including today. This is an extremely volatile period for the entire world. There is no getting away from that, and Australia is not immune from the consequences. But what we are doing is working hard each and every day in the interests of Australians.

JOURNALIST: So, Prime Minister, when will you make a call on whether you'll extend the fuel excise or not?

PRIME MINISTER: Well, we have made the call of the fuel excise being there until June 30. I've made it clear that there's a great deal of uncertainty and volatility. If you or someone else here knows when the Middle East conflict will end, what the consequences of it will be, what the terms of it ending will be, then please let us know. But if you do, you're the only ones in the world who do. This is a volatile, turbulent period in the world. We have been very upfront about that. We're not trying to pretend that that isn't the case. What we are doing though, isn't sitting on the sidelines hoping for the worst, which is what the Coalition and the right wing parties in Australia tend to do without coming up with any constructive suggestions. What we're doing is working with the different levels of government, working with the private sector, such as BP, here with us today, such as Ports New South Wales, working right across the board to make a difference. Thanks very much.