Australian fuel giant suggests it may eventually phase out petrol
Ampol CEO Matt Halliday has indicated that the company may eventually phase out petrol production as electric vehicle adoption grows and refining petrol becomes less profitable. The company plans to prioritize diesel and jet fuel, which remain essential for national security and economic stability.
Why it matters
This reflects a broader shift in the energy sector as traditional fuel retailers adapt their business models to a post-combustion engine future.
The boss of fuel refiner and retailer Ampol says refining and selling petrol is becoming less profitable and may one day be phased out, as benefits from the uptake of electric vehicles (EVs) flow through to its charging business. Speaking to That's Business with Alan Kohler on the ABC , Ampol CEO Matt Halliday said profits from petrol sales are declining as EV sales reach record levels amid continued uncertainty over crude oil supplies from a war-torn Middle East. Domestic fuel production has come into the spotlight following conflict in the region, given Australia now has only two operational oil refineries, which together produce around 20 per cent of the nation's fuel needs – Ampol's Lytton refinery in Brisbane, Queensland, and Viva Energy's refinery in Geelong, Victoria.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in