The Australian Government moved to escalate its crackdown on anti-competitive behaviour, introducing legislation to double penalties for fuel price gouging.
The Treasury Laws Amendment Bill 2026 comes as rural regions grapple with severe supply disruptions triggered by the ongoing conflict in Iran.
Under the proposed laws, companies found engaging in cartel conduct or misleading consumers could face staggering fines of up to $100 million.
Treasurer Jim Chalmers emphasised that the move is designed to hold major suppliers and retailers to account, warning that international volatility must not be used as a pretext for artificial price hikes.
"We are not immune to global shocks, but this action is about protecting Australian motorists," Chalmers stated, urging bipartisan support to pass the bill.
The legislative push follows a targeted investigation by the Australian Competition and Consumer Commission into industry giants, including Ampol, BP, Mobil, and Viva Energy.
While the government maintains that national markets remain well-supplied, panic buying has surged, doubling demand in some areas.
The strain is already visible; reports indicate that over 100 service stations in Victoria and nearly 300 in New South Wales have run out of at least one fuel type.
To mitigate the immediate crisis, the Labor government has authorised the release of domestic petroleum reserves and temporarily relaxed fuel quality standards to bolster local availability.
With Australia currently importing 84% of its petroleum needs, these measures aim to provide a critical buffer against further global instability.