N.S. W. fuel freeze

Press, Volume CXV, Issue 33964, 3 October 1975, Page 9

N.S. W. fuel freeze

(N.Z. Press Assn— Copyright) SYDNEY, Oct. 2. New South Wales, Australia’s most populous state, today faced the certainty of drastic cut-backs in public transport services and petrol rationing as yesterday’s state government freeze on fuel supplies began to bite,

A fuel drought loomed as the latest development in a worsening Australian oil dispute which threatents an estimated 75 per cent of Australia’s national oil production in the closing of eight of the country’s 12 refineries tomorrow night. The dispute stems from a

demand for a $35-a-week pay increase by maintenance workers at the giant Caltex Oil refinery complex in Sydney. The oil company rejected the demand, saying that it would have exceeded wage indexation guidelines set down by the national payfixing Australian Arbitration Commission.

Oil unions retaliated by halting the flow of crude to Sydney from Australia’s Bass Strait oil fields north of Tasmania which account for all but 20 per cent of domestic consumption. Caltex later stood down 108 employees at its Sydney refinery, which subsequently prompted the Australian Workers’ Union (A.W.U.) to announce that 2300 of its members would walk out of the eight refineries at mid-

night on Friday in sympathy with the Caltex workers. The State Government reacted by imposing savage cuts in rail and bus services due to coincide with the walkout to complement its decision on a fuel supply freeze.

As a result of the freeze, there have been no petrol sales from oil companies to retail outlets, and service stations throughout the state are relying on current reserves until the dispute is settled.

Service stations today began displaying “regulars only” signs and applying voluntary $2 or $3 limits on petrol sales, but according to motoring organisations, most of the outlets were expected to close within the next two days. In neighbouring Victoria, the State Premier (Mr Dick Hamer) announced some public transport reductions in preparation for the refinery shutdowns, but made it clear that his government was not considering rationing in the! near future.

The petrol freeze in New South Wales came on the eve of a three-day holiday week-end for which thousands of the, state’s 4.6 million people had made travelling plans.