While Australia is never going to be self-sufficient when it comes to oil, the government can improve the nation's physical energy security by, among other things, ensuring some refining capacity remains in Australia, and that the
Domestic oil production is not currently sufficient to meet Australia's total demand for fuel, even if all of it was refined domestically. A lot of production is condensate (a very light crude and by-product of national gas production).
“There's an estimate that Australia has known reserves – so there could be stuff we don't know about – of about a billion barrels, which is about a thousand days' worth.
Domestic crude production has been in decline for some time and Australia does not produce enough compatible crude oil to run existing domestic refineries. Most crude oil production is located long distances from Australian refineries and has better transport proximity to key Asian markets.
Australia's solar radiation per year is around 10,000 times larger than our total energy consumption. If these resources are exploited, Australia can become energy self-sufficient and, at the same time, reduce its vulnerability to energy supply disruptions, such as from international conflicts.
Australia has about 0.3 per cent of the world oil reserves. Most of Australia's known remaining oil resources are condensate and liquefied petroleum gas (LPG) associated with giant offshore gas fields in the Browse, Carnarvon and Bonaparte basins.
Among the most self-sufficient countries, Argentina could feed itself with just 5.5% of its land. The US and Canada only need 12-13%, Sweden is also at 13%. Ireland is at 14.56%, Finland at 18%.
The remaining oil volumes were produced from fields in the Gippsland and the Cooper basins, in south-eastern Australia. Australia has significant undiscovered unconventional oil resources potential, including shale oil, tight oil, basin centred oil and oil shale.
“International benchmark prices and the value of the Australian dollar have the most influence on the price consumers pay for fuel,” the ACCC said on its website. “Pricing decisions by wholesalers and retailers, and levels of competition in different locations [also] influence fuel prices.”
Australia is already dependent on imports to meet the growth in demand for transport fuels (eg. demand for diesel and jet fuel exceeds total local refinery production) and Australia is a price taker on world markets.
Independent reports from Gustavson Associates and DeGolyer and MacNaughton put the untapped basin, located in South Australia at between 233 billion and 103 billion barrels of oil equivalent respectively.
We do produce some crude oil domestically - about 350 barrels per day - however, the majority of this is exported. Most of our imported petrol comes from Asia, with around 25 per cent of it coming from Singapore. The remainder is sourced from South Korea, Malaysia, China, the US, Japan and Thailand.
How far away is your market? Wood Mackenzie currently estimate Australia's commercial reserves at 2.0 billion barrels of oil and condensate, and 49.5 trillion cubic feet of gas. At current rates of consumption this equates to nine years of liquids reserves and 38 years for gas reserves.
Global consumption of oil is currently estimated at roughly 96.5 million barrels per day. According to OPEC, global demand is expected to reach 109 million barrels per day. Estimations vary slightly, but it is predicted that - if demand forecasts hold - we will run out of oil from known reserves in about 47 years.
CLAIM: The planet has an unlimited supply of oil. AP'S ASSESSMENT: False. Crude oil supplies are not unlimited, experts say. Crude oil is not a renewable resource and humans won't be able to extract all remaining untapped resources due to economic and technological limitations.
Australia has just two domestic oil refineries, Ampol's facility in Brisbane and Viva Energy's refinery in Brisbane. The funding had been included in last year's mid-year economic update – as part of a controversial $16 billion election war-chest of 'decisions made but not announced.
As at 29 September 2022, the excise is charged at a rate of 46 cents per litre (CPL). The principal purpose of fuel excise is to raise revenue for the budget. Fuel excise is indexed every 6 months, in February and August, to upwards movements in the consumer price index (CPI).
Most diesel is sold in bulk to commercial/industrial customers (eg. mining and transport companies) on long term contract. ⇒ In the Australian retail market, there is very little diesel sold to private customers. ⇒ Hence retail diesel prices, unlike petrol prices, are not subject to aggressive price discounting.
The main factors leading to volatile fuel prices include the hangover from the COVID-19 pandemic, Russia's war, lockdowns and unrest in China, along with speculation of a looming recession.
Australia has proven reserves equivalent to 2.9 times its annual consumption. This means that, without imports, there would be about 3 years of oil left (at current consumption levels and excluding unproven reserves).
America now has more untapped oil than any other country on the planet. That's according to a new report from Rystad Energy that estimates the U.S. is sitting on an incredible 264 billion barrels of oil reserves.
#1 Venezuela
One of the most troubled countries in the world, Venezuela is also the country with the world's largest oil reserves, pegged at over 300 billion barrels.
2023 rankings
In the 2023 index, Switzerland is ranked most free overall, while North Korea is last. Bahrain was ranked most conservative, while Argentina was ranked most progressive.
Summary: New Zealand is one of only a few island nations that could continue to produce enough food to feed its population in a nuclear winter, researchers have found.