Industry Minister Ian Macfarlane says motorists may face a 2c rise on petrol prices to help the government meet the “extraordinarily expensive” international standards on oil reserve capacity, ABC Online reports.

According to the website, Australia’s reserves have fallen to just 52 days’ worth of exports, short of the IEA’s recommended 90 days (three months), following a wave of refinery closures and leaving Australia as the only member among 29 developed economies short of the standard.

Mr Macfarlane said the cost of complying would be “billions and billions and billions of dollars” and questioned whether Australia should remain committed to the IEA target.

“The impact on the cost of fuel at the bowser will be significant,” he said, according to the website. “Do Australians want us to remain compliant [with the IEA obligation]?”

Extracted in full from The Australian.