Fuel shortages, jerry cans and panic buying

Fuel prices are rising, some service stations are reporting outages and jerry cans are selling out in parts of Australia, leaving motorists unsure what they can legally and safely do.

Despite isolated shortages in some regions, authorities have reassured motorists that Australia is not facing a nationwide fuel crisis.

In an interview with the ABC, Minister for Industry Tim Ayres said Australia’s fuel reserves sit at about 36 days for petrol and 32 days for diesel, adding there is no need for motorists to stockpile fuel.

“So, there is [fuel] – we have the fuel reserves in the strongest position that they have been in for 15 years,” he said.

“So, we are well prepared for these global events, as unwelcome as they are.”

Despite those assurances, panic-buying of fuel has begun nationwide, with some independent and regional service stations experiencing short-term outages as demand spikes, even when broader supply remains intact.

Fuel prices in Australia are largely dictated by global markets, and the latest surge has been driven by sharp increases in international oil prices rather than domestic supply constraints.

Much of that pressure stems from escalating tensions in the Middle East, which have heightened fears of disruption to key shipping routes used to transport oil and refined fuel. In a recent article here on carsales, we covered that even the risk of disruption has been enough to push global oil prices higher, flowing quickly through to wholesale fuel costs and ultimately the bowser.

Increased demand, uneven fuel distribution and panic-buying in response to price rises also contribute to localised shortages across Australia.

Across Australia, motorists are generally allowed to transport fuel for personal use in approved containers that meet Australian safety standards. Approved containers are purpose-built metal or heavy-duty plastic fuel jerry cans designed specifically for petrol or diesel, clearly labelled and built to seal securely and manage fuel vapour safely.

These containers are commonly made to Australian and New Zealand Standard AS/NZS 2906 and are widely sold at automotive retailers, hardware stores and service stations.

Where and how fuel is carried is critical, and this is where most compliance issues arise.

Key points that apply nationwide:

From a regulatory perspective, rules are largely aligned across states and territories, with most jurisdictions permitting up to 250 litres of fuel for personal use under dangerous goods provisions. Enforcement generally focuses on safety rather than possession.

New South Wales, Victoria and Queensland allow personal fuel transport in approved containers, provided it is carried safely and does not pose a risk to occupants.

South Australia, Western Australia and the Northern Territory follow the Australian Dangerous Goods Code, with similar limits and safety requirements.

Tasmania permits fuel transport for personal use but may apply penalties if storage or transport is deemed unsafe.

Diesel is generally treated less strictly than petrol due to its lower flammability, but it must still be carried in approved containers and properly restrained. Carrying any fuel inside the cabin can still attract enforcement action if authorities consider it unsafe.

Regulations can be applied differently depending on circumstances, so motorists are advised to check guidance from their state or territory transport authority before carrying fuel.

Potentially, yes.

Penalties are commonly issued when fuel is carried in a way that breaches safety standards, rather than for simply having extra fuel on board. Enforcement generally focuses on unsafe practices that increase fire or spill risks.

This can include:

Using the wrong type of container can be unsafe and may attract penalties if authorities determine fuel is being transported dangerously.

There are also differences between petrol and diesel containers. Petrol containers must be able to handle higher vapour pressure and seal tightly, while diesel containers are generally less complex but still need to be compliant and clearly labelled.

Containers are often colour-coded, with red commonly used for petrol and yellow or black for diesel, but compliance and labelling matter more than colour alone.

While fines vary by state and circumstance, authorities prioritise behaviour that reduces risks to vehicle occupants and other road users.

Authorities and industry groups continue to advise against it.

Panic-buying can worsen local shortages, strain supply chains and increase safety risks, particularly when fuel is stored or transported incorrectly.

For most drivers, maintaining normal refuelling habits is considered the safest and most responsible approach.

Fuel headlines may be unsettling, but calm behaviour at the pump remains the most effective way to keep fuel available for everyone.

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