Queensland will fast-track approvals for Ampol to improve one of many two remaining oil refineries within the nation inside two years.
Acting Premier Steven Miles has known as within the ASX-listed fossil gasoline producer’s utility to improve its ageing Brisbane plant to provide low-sulphur petrol by the top 2024 when that turns into obligatory beneath federal regulation.
The federal authorities is in talks over a taxpayer-funded grant for Ampol to improve its refinery, which together with Viva Energy’s Brisbane facility it considers as strategically necessary.
The state authorities’s transfer to call-in the challenge will pace up the approvals course of to permit the corporate to interrupt floor sooner.
“This is one of only two refineries in the country, it’s critical to fuel security for Queensland and for the entire nation,” Mr Miles said.
“This challenge will enable Ampol to ship to Queensland companies and customers cleaner decrease emissions gasoline, it is going to safeguard the 850 jobs right here instantly employed and contractors, in addition to create 300 extra jobs (within the building part).”
Ampol executive general manager Andrew Brewer welcomed the state government’s support for speeding up approvals for a project that will effectively extend the life of the 58-year-old refinery.
“We’re seeking to see successfully ultra-low sulphur gasoline product come on time … for the Australian market by the top of 2024,” he instructed reporters.
“So it is an aggressive challenge schedule and we’re seeking to work onerous on it.”
Australian oil refineries have posted years of losses as they struggle to compete against larger Asian rivals and decarbonisation policies put them under further pressure.
However, supply disruptions caused by the pandemic and soaring fuel prices last year raised concerns about Australia’s long-term fuel security and spurred the former Morrison government to consider other means of propping up refineries.
The former government agreed to offer Ampol and Viva grants of $125 million each to upgrade their refineries by the end of 2024, which are being renegotiated by the Albanese government.
Despite bipartisan support for fossil fuel refiners, BP ceased operations at its West Australian plant and Exxon Mobil shut its Altona plant in Victoria last year.
BP plans to refit its Bokarina facility to make biofuel for industrial aviation by 2025, whereas Oceania Biofuels is planning a $500 million industrial aviation gasoline bio-refinery in Gladstone in central Queensland.
