10 Million Litres Of Diesel Secured For Victorian Farmers

The Victorian Government has secured a 10 million litre diesel reserve to strengthen fuel security for the state's agricultural sector.

The strategic reserve is designed to ensure farmers can access fuel during times of major disruption, giving regional communities greater certainty ahead of the winter growing season.

Victoria now joins Western Australia as one of only two states in the country with a confirmed fuel reserve in place.

Victorian farmers contribute more than $22 billion to the economy each year and play a critical role in supplying food to households across Australia and overseas. The new reserve comes as many farmers continue to deal with drought conditions and ongoing global economic pressures.

The Government says the fuel stockpile will help producers make planting and operational decisions with greater confidence, while also supporting food security and helping to ease pressure on grocery prices.

The reserve will not affect normal day-to-day fuel supply and will only be accessed in the event that Level 4 of the National Fuel Security Plan is activated. It will work alongside the Commonwealth's Minimum Stockholding Obligation for fuel companies.

Authorities have confirmed there remains sufficient diesel supply across Victoria, with regular shipments continuing to arrive as required.

Premier Jacinta Allan said strong harvests depend on reliable fuel access for regional communities.

"Backing farmers means backing local jobs and businesses and helping keep grocery prices down for everyone," she said.

Minister for Energy and Resources Lily D'Ambrosio described the reserve as "an insurance policy" for farmers and regional communities.

Minister for Agriculture Michaela Settle said the initiative would help protect fuel supply at critical times for the agriculture sector.