No Fuel Cuts to Australia, Singapore Assures Amid Energy Crisis

Darwin, 11 April: Singapore has pledged not to halt fuel exports to Australia, with Prime Minister Lawrence Wong assuring Anthony Albanese that energy supplies will continue despite ongoing international turmoil.

The assurance came during Albanese’s brief visit to Singapore, where both leaders signed a new agreement aimed at maintaining the flow of fuel and liquefied natural gas (LNG) between the two countries amid a “severe global energy crisis” triggered by conflict in the Middle East.

Under the deal, Australia and Singapore will introduce a legally binding addition to their free trade agreement to guarantee the continued exchange of essential energy supplies.

Although no immediate increase in fuel shipments to Australia was announced, the government said the visit would help secure ongoing supply. The opposition, however, quickly criticized the lack of short-term gains.

Responding to questions about whether Australia would be prioritized if Singapore were forced to cut production, Wong said there were no such plans.

“We have no intention of restricting exports. We didn’t do so during COVID, and we will not do so during this energy crisis,” he said.

Singapore is Australia’s largest refined fuel supplier, accounting for more than a quarter of its total imports. This includes 55% of petrol, 22% of jet fuel, and 15% of diesel, valued at over $10 billion.

Meanwhile, Australia supplies around 32% of Singapore’s LNG, worth approximately $5 billion.

The visit comes at a time of heightened concern over global energy supplies, as disruptions linked to the Middle East conflict and shipping challenges through the Strait of Hormuz continue to affect markets.

Both leaders emphasized the importance of cooperation during the crisis. “This is a difficult time not just for our two countries, but for the entire world,” Wong said. “We must work closely, act swiftly, and remain united—not only to manage risks but to safeguard the well-being of our people.”

In a joint statement, Australia and Singapore reaffirmed their commitment to supporting the flow of essential goods, including petroleum products and LNG, and agreed to strengthen coordination, improve port and border efficiency, and enhance transparency to ensure timely deliveries.

Albanese stressed that ensuring energy supply remains his government’s top priority.

“Our focus now and in the near future is supply, supply, and supply… and after that, price,” he said.

While no immediate additional supply was secured, both sides said the agreement would help ensure stable and reliable energy flows in the future.

“This is not just about managing today’s crisis,” Wong added. “It is about building a dependable supply system for a more uncertain future.”

Singapore also indicated interest in expanding LNG imports from Australia, with a new state entity expected to explore more long-term and commercially viable gas deals.

Source: The Guardian