Mooted WA oil refinery 'dinosaur technology' amid clean energy transition, experts say
Guardian AU
β’Wed, 29 Jul 2026 06:15:55 GMT
π° What Happened
The Albanese government announced a $4 million feasibility study with the WA government for a new oil refinery in the Pilbara. Climate policy experts, including former BP regional president Greg Bourne, criticised the proposal as 'dinosaur technology' that would require subsidies and is unlikely to be economically viable.
π The Backstory
Australia has lost six of its eight oil refineries since 2003 due to international competition and changing market dynamics, leaving only two operational. The government has pursued fuel security strategies including the maintenance of domestic refining capacity, while climate advocates argue for a transition away from fossil fuels entirely.
π― Why It Matters
The proposed refinery represents a key test of Australia's energy policy direction: whether to invest in new fossil fuel infrastructure for short-term fuel security or to prioritise the clean energy transition. The outcome will signal to markets and investors the government's commitment to its climate targets versus its traditional fuel security concerns.
The Albanese government announced a $4 million feasibility study with the WA government for a new oil refinery in the Pilbara. Climate policy experts, including former BP regional president Greg Bourne, criticised the proposal as 'dinosaur technology' that would require subsidies and is unlikely to be economically viable.
Australia has lost six of its eight oil refineries since 2003 due to international competition and changing market dynamics, leaving only two operational. The government has pursued fuel security strategies including the maintenance of domestic refining capacity, while climate advocates argue for a transition away from fossil fuels entirely.
The proposed refinery represents a key test of Australia's energy policy direction: whether to invest in new fossil fuel infrastructure for short-term fuel security or to prioritise the clean energy transition. The outcome will signal to markets and investors the government's commitment to its climate targets versus its traditional fuel security concerns.