As 2025 draws to a close, Australia’s fuel industry is entering a new era of compliance. The Minimum Stockholding Obligation (MSO), introduced under the Fuel Security Act 2021, is now fully operational, and regulators are signalling that enforcement will intensify in 2026. For service station operators, this is not a distant policy issue, it is a compliance reality that will shape contracts, reporting, and reputational risk for years to come.

Key Dates and Thresholds

  • Commencement: The MSO came into effect on 1 July 2023, with obligations phased in.
  • Tightened thresholds: From 1 July 2024, refiners and importers were required to hold minimum reserves:
    • Petrol and kerosene: 24 days for refiners, 27 days for importers
    • Diesel: 20 days for refiners, 32 days for importers
  • Weekly reporting: Entities must submit accurate stock data to the Department of Climate Change, Energy, the Environment and Water (DCCEEW).

These thresholds remain in force as we move into 2026, and regulators have made clear that accuracy and timeliness are non-negotiable.

Enforcement Facts: Lessons Already Learned

  • Reporting obligations: Weekly reporting is mandatory under the Fuel Security Act 2021 and the Fuel Security (Minimum Stockholding Obligation) Rules 2022. Regulators have stated that inaccurate or late reporting will trigger penalties.
  • Diesel focus: From 1 July 2024, diesel stockholding requirements increased to 32 days for importers and 20 days for refiners, reflecting its critical role in transport, mining, agriculture, and defence.
  • Transitionary measures: Importers and refiners were able to apply for reduced obligations before 1 July 2025 if they demonstrated “all reasonable steps” to comply. After that date, exemptions are far narrower, limited to infrastructure repairs or contract loss.
  • Government support: The Boosting Australia’s Diesel Storage Program provided funding for infrastructure upgrades, but regulators have made clear that support does not replace compliance.
  • Mobil Oil Australia case (2024–25): The ACCC took Mobil to the Federal Court over alleged misleading claims about “Synergy” fuel additives. The case demonstrates regulators’ willingness to pursue penalties, declarations, and compliance orders when consumer trust is undermined. Read more here How Misrepresented Fuel Can Cost Operators More Than They Realise
  • Kanwal NSW fuel leak (2024): A catastrophic leak resulted in $9 million in damages, underscoring the financial and reputational devastation that can follow environmental non-compliance. Read more here When a Service Station Leak Costs $9 Million: Lessons for Today
  • ACCC priorities 2025–26: The regulator has flagged essential services, environmental claims, and misleading advertising as top enforcement areas. Service stations are firmly in scope, particularly around signage, additives, and pricing transparency.

These cases show that regulators are not hesitating to act and the MSO adds another layer of compliance risk that operators must manage.

Enforcement Signals

  • Publication of compliance data: DCCEEW is publishing the number of entities subject to MSO obligations, making compliance performance visible to industry and government.
  • Warnings of penalties: Legal briefings from Norton Rose Fulbright and McCullough Robertson highlight that civil penalties under the Fuel Security Act will apply for breaches, including inaccurate reporting or failure to hold required stock.
  • Operational impacts: Importers are already adjusting contracts, requiring downstream operators (service stations) to provide accurate storage data or participate in audits.

Why the MSO Matters for Service Stations

While the MSO applies directly to importers and refiners, downstream operators are already feeling the impact:

  • Contractual obligations: Suppliers are embedding MSO compliance clauses into contracts, requiring accurate storage data and reporting.
  • Financial exposure: Rising compliance costs are being passed down the supply chain, squeezing already tight margins.
  • Operational risk: A single reporting error can trigger investigations or disrupt supply.
  • Reputation risk: Regulators are publishing compliance statistics, meaning lapses can quickly become public knowledge.

How Oracle Petroleum Protects Clients

Oracle Petroleum is the leading compliance specialist for the Australian service station industry, offering a comprehensive program that keeps operators ahead of regulatory changes.

  • Compliance Program: Oracle Petroleum ensures service stations align with MSO-related obligations, managing reporting accuracy and contract compliance.
  • Staff Training: Console operators and site managers are trained to understand reporting requirements, fuel quality standards, and contractual obligations.
  • Risk Management: Oracle Petroleum prepares stations for contractual changes and rising compliance costs, embedding best practices into daily operations.
  • Regulator Liaison: Oracle Petroleum supports clients in interactions with DCCEEW, ACCC, EPA, and SafeWork, ensuring stations stay ahead of enforcement trends.

By partnering with Oracle Petroleum, service stations gain peace of mind, knowing their compliance obligations are being managed by experts who understand both the technical and regulatory landscape.

Looking Ahead to 2026

The MSO is not a temporary measure, it is part of Australia’s long-term fuel security plan. As enforcement ramps up in 2026, regulators will be scrutinising reporting accuracy, contractual compliance, and environmental standards more closely than ever. Service stations that fail to adapt risk financial penalties, reputational damage, and operational disruption.

By contrast, those who partner with Oracle Petroleum will be positioned as compliant, reliable operators, trusted by regulators and customers alike.

Let’s Use This Opportunity Together

The MSO is here, and enforcement is only intensifying. Don’t wait until regulators come knocking. Protect your business, safeguard your reputation, and stay ahead of compliance risks by partnering with Oracle Petroleum.

👉 Book your free consultation today and discover how Oracle Petroleum’s compliance program, staff training, and regulator support can keep your service station secure, compliant, and profitable in 2026 and beyond.