Albanese government's 'no need to panic buy' messaging fails to land

ABC21-03-2026

Albanese government's 'no need to panic buy' messaging fails to land

Topic:Government and Politics

Labor's focus on securing fuel supply is understandable, but it means little to motorists motivated by price signals and perceived scarcity. (ABC News: Matt Roberts)

The spread of localised fuel shortages across parts of Australia is a clear sign the federal government's "no need to panic buy" messaging is failing to land.

Labor's focus on securing supply to mitigate the direct impact of the global oil shock sparked by war in the Middle East is understandable, but it means little to motorists motivated by price signals and perceived scarcity.

As costs soar, queues form and regional bowsers run dry, the government must ensure its talking points are not detached from the incentives people are actually responding to.

Setting aside the shysters flogging jerry cans on Facebook Marketplace, who can blame the average Australian currently buying more fuel than normal.

When prices are volatile and supply looks uncertain, topping up or overfilling becomes a rational hedge.

And for farmers and some industries, the danger posed by diesel shortages — real or otherwise — is existential to their livelihoods.

A prolonged conflict and disruption to global supply will eventually be felt on supermarket shelves. (ABC News: Pete Garnish)

A self-fulfilling prophecy

The more people hear there might be a problem, the more they act as if there already is one.

That creates a feedback loop the government has struggled to break.

Reassurance alone rarely works when consumers can see prices rising in real time.

Nor does lecturing people about "only taking what they need" cut through when the perceived costs of being wrong outweigh the social pressure to behave.

While it is true the amount of petrol and diesel onshore is the same as it was before the US-Israeli strikes on Iran three weeks ago, that fact alone was never going to settle the public's nerves.

Prime Minister Anthony Albanese and Energy Minister Chris Bowen have moved to secure ongoing and future supply, including drawing on reserves and trying to ease distribution choke points.

The government is attempting to send loud signals publicly through measures like appointing former energy regulator boss Anthea Harris to the newly created role of fuel supply taskforce coordinator.

At the same time, important work is taking place behind the scenes, with Foreign Minister Penny Wong in constant contact with trade partners in Asia critical to Australia's supply of crude oil and refined fuel.

Despite this activity, Labor has struggled to avoid the perception it has been late to react.

One senior Labor source says Chris Bowen has an "unfortunate tendency" to come across as "condescending". (ABC News: Matt Roberts)

'A Question Time lecture'

There are internal grumblings about the "tone" taken by some of the key voices on the issue, including Bowen, who one senior Labor source says has an "unfortunate tendency" to come across as "condescending".

Liberal Queensland Premier David Crisafulli this week rebuked Bowen's reaction when the state raised concerns about fuel access a fortnight ago.

"Instead of a response and a resolution, we got a Question Time lecture," Crisafulli said.

It's possible that even if Labor had got its policy levers and messaging aligned earlier the panic buying would have occurred anyway.

After the appointment of Harris to the taskforce, Crisafulli said he felt the fuel issue was being taken "seriously" by the Commonwealth.

But if Albanese and his ministers can't now maintain the right tone, the political and economic pain will only deepen.

With the end date of the war anyone's guess, the impact of higher cost will rapidly spread beyond the bowser.

A prolonged conflict and disruption to global supply will eventually be felt on supermarket shelves.

The humble iceberg lettuce is cheap to grow, but expensive to move because it's bulky, perishable and often trucked long distances under refrigeration. (ABC News: Madeleine Rojahn)

Transport and storage costs climb too

Take the humble iceberg lettuce: cheap to grow, but expensive to move because it's bulky, perishable and often trucked long distances under refrigeration.

When fuel costs rise, transport and storage costs climb at the same time.

That might only add a few cents to the price of a lettuce, but multiplied across every item in a weekly shop the effect becomes material.

Housing construction shows how these pressures ripple even further.

Fuel is used to move supplies, power machinery and run the logistics chains that keep projects moving, while also feeding into inputs like plastics, insulation and other building materials.

Rising construction costs don't just make homes more expensive; they can push builders under.

Then come the secondary effects, which can be just as important as the initial shock.

When businesses and consumers start to anticipate higher prices, behaviour shifts toward stockpiling or pre-emptive price rises and that can push costs higher still.

That dynamic carries clear political risks for Labor.

Even when the drivers are global, governments wear the consequences.

Treasurer Jim Chalmers is making a valiant effort to pitch the crisis and uncertainty as a reason to do more, rather than less reform at the upcoming May budget. (ABC News: Luke Stephenson)

A May budget looms

Treasurer Jim Chalmers is making a valiant effort to pitch the crisis and uncertainty as a reason to do more, rather than less reform at the upcoming May budget.

That sets up a likely fight in cabinet over whether to more aggressively tax gas companies benefiting from the global energy crisis, and recycle that revenue into targeted assistance that temporarily offsets oil-driven costs for key industries.

Such a move would be politically fraught, but so too is allowing cost pressures to build unchecked.

In the meantime, the government faces a more immediate problem.

Australians responding rationally to rising prices and perceived scarcity will not be dissuaded by lectures or reassurance alone.

There has to be a better approach than telling people not to panic buy.

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