Media Release

An outstretched arm holding a fuel hose while filling a car with fuel at a service station petrol bowser..

24 March 2026

Councils call for fuel priority amid supply concerns

LGNSW President Mayor Darcy Byrne is calling on the NSW Government to ensure fuel supplies to councils are prioritised, warning that essential community services would be put at risk without guaranteed supplies to local government.

Mayor Byrne has written to Minister Penny Sharpe urging her to prioritise access to fuel supply for essential local government services and functions, particularly should emergency fuel supply declarations be made.

“I have today requested that the NSW Government take action to guarantee the supply of fuel to councils so the critical services we deliver are protected,” Mayor Byrne said.

“Basic services that could be impacted by fuel shortages include garbage collection, water and sewerage services, aged care, community-run transport services, and roadworks.

“Apart from pricing pressures across-the-board, the impacts are being most acutely felt by some of the most remote councils in NSW, which are already under significant financial sustainability pressures.

“A bad situation will be made much worse if garbage collection and water and sewage services are disrupted in vulnerable, remote communities because councils begin to run out of fuel.

“Compounding the issue is that rural and regional areas in NSW have a higher proportion of independent fuel retailers than other states.

“In some cases, independent service stations are the only fuel providers. When they come under pressure, it has a direct impact on councils’ ability to keep essential services running.”

Mayor Byrne represented the local government sector at the recent NSW Fuel Security Roundtable in Sydney with the Premier, Government Ministers, department secretaries, industry, and representative groups.


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