Wong Says Australia Will Not Lift Sanctions on Russian Oil

Foreign Minister Penny Wong has ruled out lifting sanctions on Russian oil despite the current fuel crisis, saying the Labor government does not want to assist Russia in its war with Ukraine.

“We maintain our sanctions on Russian oil. That’s because we don’t want to fuel Mr. Putin’s war machine,” Wong told Sunrise on March 31.

Penny Wong’s latest comments came after politicians from other parties proposed easing sanctions to address fuel shortages caused by the Strait of Hormuz blockage.

One Nation MP Barnaby Joyce said his party supported fuel rationing and sourcing fuel from India, a major importer of Russian crude oil.

“This means you’re going to be using Russian oil. I would [support that],” he told Seven News.

South Australian Liberal Senator Alex Antic has also questioned why Australia is still maintaining sanctions on Russian oil.

Australia officially banned the import of Russian oil, refined petroleum, coal and gas on April 25, 2022, as part of a broader package of sanctions in response to the country’s invasion of Ukraine in February 2022.

After the measure took effect, Australia also targeted Russia’s shadow fleet tankers used to transport crude oil indirectly to evade sanctions. More than 150 vessels are now under sanctions.

Wong Says Iran Holding Strait of Hormuz Hostage

Wong also blamed the high fuel prices on Iran’s hostile actions in the Strait of Hormuz, a critical oil transit chokepoint in the Middle East.

“The prices are being driven by the conflict in the Middle East and what that is doing to global energy markets,” Wong told the Today Show.

“Iran is holding the Strait of Hormuz hostage. [Around] 20 percent of the world’s oil goes through that, but 70 percent of the oil that comes to our region, to be refined in the refineries of Asia, of which we are a customer.”

While the minister said fuel prices were ultimately set by the market, she stressed that the government is working to provide some relief to Australians.

“What the government can do is try and give some relief at the bowser and that’s what we’ve done with the decision yesterday,” she said.

“But we’ve also got to deal with supply and distribution, which is what we are working to do.”

This comes after the Labor government cut the fuel tax by 26.3 cents on March 30 after a national cabinet meeting with state premiers.

Opposition Calls for Opening Strait of Hormuz

Meanwhile, Opposition Leader Angus Taylor said Australia needed to cooperate with global leaders to open up the Strait of Hormuz.

“What we all want to see is the strait of Hormuz opened up. [Prime Minister] Anthony Albanese should be working with leaders across the world to do everything we can to support that happening,” he told reporters .

“And I’ll tell you why that matters, because then you get 20 percent more oil going on to the global market and prices come down. It’s pretty simple stuff.”