Australian Government releases consultation on LCLF demand measure and Australia’s Fuel Security and Resilience package
Published Tue 18 Aug 2026
Low Carbon Liquid Fuels Demand Measure and Fuel Security and Resilience: Consultation Papers Released
An important step towards certainty and unlocking investment
The Australian Government has today released two significant consultation papers that will shape the future of the sector:
- Securing Australia's Cleaner Fuels Industry: A consultation paper on a demand mechanism to support Australian low carbon fuel production and unlock investment in new clean fuel refining capacity.
- Australian Fuel Security and Resilience Package: A consultation paper with low carbon liquid fuels (LCLF) playing an important role in ensuring Australia's energy sovereignty.
These consultation papers mark another important step in demonstrating the Australian Government's commitment to low carbon liquid fuels.
Why This Matters
The Low Carbon Fuels Alliance of Australia and New Zealand (LCFAANZ) has been a key advocate for this work, calling on the Government to establish clear and credible demand-side measures and policy support that can:
- Give investors and project developers the confidence and certainty needed to invest in Australian LCLF production
- Support the development of a domestic industry
- Send a strong demand signal that Australia is open for business in the development and deployment of LCLFs
- Strengthen Australia's fuel security and reduce emissions across ground transport, maritime and aviation
- Build on momentum from the Future Made in Australia initiative and the Cleaner Fuels Program
Government Statement
In announcing the release of the consultation the Government has issued this joint press release from The Hon Chris Bowen MP, Minister for Climate Change and Energy; The Hon Catherine King MP, Minister for Infrastructure, Transport, Regional Development and Local Government and The Hon Julie Collins MP, Minister for Agriculture, Fisheries and Forestry.
What's Next
The LCFAANZ is committed to supporting the consultation process, and will now work with members to bring together industry views to help ensure the final policy settings and design support both investment in, and growth of, Australia's low carbon fuels industry.
You can access the consultations papers below:
Consultation Paper - Securing Australia's Cleaner Fuels Industry
Consultation Paper - Australian Fuel Security & Resilience Package
About the Low Carbon Fuels Alliance of Australia and New Zealand
The Low Carbon Fuels Alliance of Australia and New Zealand (LCFAANZ) acts as a collaborative platform to advance low carbon fuel production, policy, education, and marketing across Australia and New Zealand, with the goal of building a commercially viable industry. The LCFAANZ supports the development of a variety of low-carbon liquid fuels, including Sustainable Aviation Fuel (SAF), renewable diesel, ethanol, and biodiesel.
