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Australia’s Federal Budget: shipping, trade, maritime measures

By Shipping Australia

In the recent Federal Budget, the Australian Federal Government announced a variety of shipping, trade, maritime measures. These include:

Disruption

  • provision of interest free loans from the National Reconstruction Fund to help manufacturing and logistics businesses in critical supply chains manage market disruption;
  • $4.5 million over three years from 2026–27 for the Commonwealth Scientific and Industrial Research Organisation to maintain and enhance its Transport Network Strategic Investment Tool to model transport options to support resilience and enhance responses to disruption.

Fuel

  • $9.2 million over two years from 2025–26, terminating 31 December 2026, for the Department of the Prime Minister and Cabinet to establish a Fuel Supply Taskforce to coordinate Australia’s fuel security during Middle East conflict‑related disruptions
  • provision of $55 million in 2026-2027 for a Transport Resilience and Capacity Kickstart pilot program to incentivise more freight to move via trains and cargo ships. Captain Melwyn Noronha, CEO of Shipping Australia commented: “the international ocean shipping fleet has a latent capacity to deliver freight around the coast of Australia at a low cost”.
  • The Government has also announced a Trade Resilience Service (the TRS) in response to the crisis in the Middle East. The service equips exporters with key logistics and freight information and market intelligence to help them continue to supply their products to international customers, maintain export reliant jobs, identify shipping routes for essential imported inputs and inform operational decision making and strategic planning
  • the establishment of a Fuel and Fertiliser Security Facility to increase additional supply and storage of fuel and fertiliser by providing up to USD5.0 billion (approximately AUD7.5 billion) in financial support including loans, equity, guarantees, insurance and price support
  • the establishment of a $3.2 billion Australian Fuel Security Reserve to increase long term fuel supply and storage in combination with an increase to the Minimum Stockholding Obligation (MSO), to increase Australia’s fuel reserves to 50 days
  • $54.7 million over five years from 2025–26 (and $8.9 million per year ongoing) to support ongoing management of Australia’s fuel security framework, including oversight of the Fuel Security Services Payment, the MSO and the National Fuel Security Plan communications campaign
  • $4.0 million over three years from 2026–27 to develop a green fuel bunkering strategy to support the Government’s existing $1.1 billion Cleaner Fuels program, with costs to be met from within the existing resources of the Department of Infrastructure, Transport, Regional Development, Communications, Sport and the Arts
  • $10.0 million in 2026–27 to support feasibility studies into new or expanded fuel refining capabilities, to be co‑funded with state and territory jurisdictions

Government administration, systems and delivery reform

  • progression of reforms to deliver a tell us once approach that reduces the amount of time Australians spend providing the same information across different areas of government
  • ongoing funding from 2025–26 for the Department of Industry, Science and Resources to maintain its industry and supply chain analytical platform to monitor supply chains
  • $66.9 million over four years from 2026–27 (and $21.2 million per year ongoing) to streamline and sustain AusCheck’s background checking services, and, from 1 July 2026, the Government will introduce full cost recovery of AusCheck’s operational expenses, including checking services provided by other Commonwealth entities. The Government will cease implementation of the single issuing body for aviation and maritime security identification cards and pursue industry engagement to modernise AusCheck’s background checking framework
  • $47.1 million over three years from 2026–27 to continue developing a Maritime Single Window and establish a digital portal for international maritime regulatory reporting.
    Shipping Australia welcomes this commitment to deliver the Maritime Single Window. As primary users of existing systems, Shipping Australia and its members  stand ready to work closely with government departments to help design and implement a Maritime Single Window that is efficient, practical and aligned with global standards. This is a vital step towards reducing red tape and improving Australia’s competitiveness
  • $22.6 million in 2026–27 for the Australian Maritime Safety Authority to support its continued delivery of the National System for Domestic Commercial Vessel Safety
  • $16.6 million over four years from 2026–27 (and $4.3 million per year ongoing) to support the ongoing safety investigative functions of the Australian Transport Safety Bureau
  • $1.9 million in 2026–27 for the National Freight Data Hub to continue to capture, standardise and provide accessible freight data to improve productivity in the freight sector

Other

  • $5.3 million over two years from 2026–27 to continue support for the Administrator of the Construction, Forestry and Maritime Employees Union
  • $9.4 million over four years from 2026–27 to strengthen regional maritime capabilities in cooperation with India and northeast Indian Ocean countries
  • $8.8 million over four years from 2026–27 to support Indonesia’s civil maritime capabilities
  • $208.8 million for shipping and aviation to support the Australian Antarctic Program, including the delivery of additional marine science voyages
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