Skip to playerSkip to main content
  • 10 hours ago
The Prime Minister Anthony Albanese has arrived in the south-east Asian nation of Brunei beginning another regional visit aimed at shoring up Australia's fuel supplies. The trip comes only days after he visited Singapore another key supplier of fuel to Australia. But south-east Asia like much of the world is grappling with the supply shocks caused by the deteriorating situation in the middle east.

Category

📺
TV
Transcript
00:01Look, it's a pretty quick trip to Brunei. In fact, Jade, I'm told the Prime Minister
00:06might have touched down just a couple of minutes ago. But it's only really a day that he'll
00:10be spending there in the small Sultanate on the island of Borneo. The plan is basically
00:16today to go to a war memorial. At that war memorial, we expect Anthony Albanese to pay
00:21tribute to some of the Australian troops who, in World War II, paid with their lives in
00:26the liberation of Borneo in 1945. And then on top of that, we expect that he will hold
00:33meetings tomorrow with the Sultan of Brunei, one of the wealthiest individuals in the world.
00:38And of course, this trip, unsurprisingly, is all about oil and what guarantees Australia
00:42might be able to extract from Brunei as well as Malaysia in the face of the shocks that
00:48we've been hearing about so constantly because of the war in Iran. So two days, really one
00:54day, one and a bit days in Brunei, and then another day in Malaysia. We expect him to fly
00:58to Kuala Lumpur and there in KL, he'll sit down for talks with Anwar Ibrahim, the Prime
01:03Minister of Malaysia. And again, fuel and the war on Iran likely to be at the very top of
01:08the agenda.
01:09What are the economic relationships like, Stephen, between these two nations and Australia?
01:14And what influence does this give the Prime Minister?
01:18Look, Australia isn't just a price taker here. Australia does have influence and that's
01:23because we're a big energy supplier for much of Southeast Asia. In the case of Malaysia,
01:28we supply the bulk of their LNG, which is a really important part of their energy mix.
01:33In the case of Brunei, it's not so much energy, it's food. Australia is a major food exporter
01:39to the region and a lot of our food exports, or some of Brunei's, quite a few of, quite
01:44a portion of Brunei's food exports come from Australia. So Australia is providing essential
01:49goods to the region, whether that's energy, protein, whatever. And that gives us a level
01:54of leverage. In return, we need things like petrol and diesel from these companies and
02:00from these countries. So the argument the Prime Minister is making here is not really
02:04one, you know, if you don't continue to supply us with fuel, we'll turn off the tap. I don't
02:08think that's a strategy that Australia is going to undertake, at least not now. But the argument
02:13they're making, or that the Prime Minister is going to make, is look, you depend on us for
02:16these critical inputs into your economies. You need us to feed your economies or to feed
02:21your people. In turn, the industries that give you that fuel, that give you that food,
02:27that depends on diesel. Australian farming and mining, to a degree, still really do run
02:31on diesel. So his argument is, even if things do get difficult, you need to put Australia
02:36at the very top of the queue to ensure that we try and keep that flow of essential goods
02:41running. And the Foreign Minister is also travelling with Anthony Albanese. What is she hoping to
02:47achieve on this trip, do you think? Look, I suspect because this is such a fluid
02:53and febrile environment, the Foreign Minister will want to follow up immediately with any
02:58commitments or high level commitments that the Prime Minister secures. She's going to head
03:03on to Singapore, as you mentioned, after the trip to Brunei and Malaysia. I suspect what
03:08she'll be doing there is trying to rapidly implement the broader commitments that Anthony Albanese
03:13and Lawrence Wong struck in Singapore last week. This is all about expediting agreements
03:19on things like trade in essential supplies to try and get Australia a bit more certainty
03:23when it comes to oil supplies. And I imagine that it will be a similar story in places like
03:28Brunei and Malaysia. It's because of the urgency of the situation, it's probably not such a
03:34great idea to have this high level meeting, then let the issue rest for a few months or
03:38so or a few weeks and then crack on with work. The Foreign Minister, I suspect, will be there
03:42to make sure things get underway as quickly as possible. That's definitely what's happening
03:46in Singapore. And I imagine it will be a pattern repeated across Southeast Asia. There are an
03:51awful lot of countries that are going to be putting their hands up, asking for fuel from these
03:55places. So Australia won't be alone. We have to force our way to the front of the queue.
Comments

Recommended