Now lawMoney & Tax Introduced in the House of Representatives, 30 Mar 2026

Finance Minister got an $800 million fuel emergency fund

This law set aside up to $800 million for normal day-to-day government spending to deal with fuel problems. The money could be used until 30 June 2026. It is one half of a $2 billion emergency plan.

Official name: Appropriation (Fuel Security Response) Bill (No. 1) 2025-2026

Who it affects

• Six federal departments: Agriculture, Climate Change and Energy, Foreign Affairs, Industry, Infrastructure and Transport, and Treasury could ask for extra money.
• Parts of the economy hit by high fuel prices or shortages: The government said it might need to help parts of the economy facing fuel price and supply problems.
• Taxpayers: Up to $800 million of public money could be spent this way.
• The Liberal and National parties: The Finance Minister promised to ask the person who speaks for them on money to agree to any amount over $1 billion.

Three months of fuel spending

The government cannot spend public money unless Parliament passes a law to allow it. The money comes from the Consolidated Revenue Fund. That is the government's main bank account, where taxes go.

In March 2026, the government said it might need to act on high fuel prices. Fuel supply problems were also hitting parts of the economy.

It asked Parliament for emergency power to spend. This would cover the last three months of the 2025-26 money year, until 30 June 2026. The government's money year runs from July to June.

The Constitution is the rule book for how Australia is run. It says the government's normal yearly spending must be in a separate bill from other spending.

So the government brought two bills. This one, Bill No. 1, covers normal day-to-day spending. Bill No. 2 covers things like new projects and payments to the states.

The Finance Minister, Senator Katy Gallagher, brought the bills. Together they are called the Fuel Security Appropriation Bills. That means bills that let the government spend money on fuel supply.

The $800 million fund

The law does not set aside money for any named program. It adds no new spending for 2025-26 in its list of programs.

It creates an emergency pool the Finance Minister can draw on. The official name is the Advance to the Finance Minister.

The Minister can use it when there is an urgent need to spend this year that was not planned for. That could be because of a mistake. It could be because something came up that no one expected.

This law sets a limit of $800 million on the pool. Bill No. 2 adds another $1.2 billion. That makes $2 billion in total. Splitting it 40 per cent and 60 per cent is the usual way.

This is on top of the normal emergency pools in the 2025-26 Budget laws. The Budget is the government's yearly plan for money in and money out. Those hold $400 million and $600 million.

The money can only be used to deal with fuel supply problems and needs linked to them. Only six departments listed in the law can get it.

They are Agriculture, Fisheries and Forestry, and Climate Change, Energy, the Environment and Water. The others are Foreign Affairs and Trade, Industry, Science and Resources, Infrastructure and Transport, and the Treasury.

Say fuel shortages hit farmers at harvest time. The Agriculture department could ask for part of this fund to pay for help. The Minister would then make a formal choice to move the money.

Checks on the spending

Each choice to hand out money is a written rule. It must be given to Parliament. Parliament can vote to cancel most rules like this. But it cannot cancel these ones.

The government says cancelling one would leave a department short of money for its normal programs. It says both big parties agree these choices should be let off.

The government says the same checks used for emergency money during COVID will apply. Each choice must be published online with an explanation. The Finance Minister must put out a public statement to the news media in weeks when money is handed out.

There will also be a yearly report to Parliament. The Australian National Audit Office checks how the government spends money. It will review that report each year.

How the money is used

The law sets out the usual kinds of spending. Some money pays for a department's own running costs, such as staff and suppliers.

Other money pays for programs the department runs for the government, such as grants and benefits.

Money can also go to companies the government owns. It can go into accounts set up for one set purpose.

Start date

This is now law. It was brought to the House of Representatives, the lower house of Parliament, on 30 March 2026. It passed the House the same day.

The Senate, the other house of Parliament, passed it on 1 April 2026. The Governor-General, the King's representative, signed it into law the same day. It became Act No. 23 of 2026. It started that day.

Any money from the fund not spent by 30 June 2026 could no longer be used from 1 July 2026. The whole law will be scrapped at the start of 1 July 2028.

Its journey through Parliament

Official sources

• Bill page on aph.gov.au
• Text of the bill
• Explanatory memorandum

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