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Rural petrol station with two pumps under metal canopy, brick office building, corrugated fencing
✓ ABC NewsMoney & Work

Birchip residents drive 40km for fuel as town's only station stops supply

Birchip's only unleaded fuel supplier stopped ordering petrol for three weeks, forcing residents to travel 30-40 kilometres to neighbouring towns.

The Birchip Motel and Caravan Park is the sole supplier of unleaded petrol to the farming town of about 700 residents. The motel stopped ordering fuel for more than three weeks, citing rising wholesale costs.

Owner Sarathi Muthukrishnan said he raised prices to cover costs. Customers then moved to competitors.

The shortage hit the town's emergency response team. That team relies on petrol for its community car and emergency vehicle.

Pensioner Maureen Donnellon, 79, said the restriction felt like COVID-19 lockdown. She worried about fire season and noted that some mowers and whipper-snippers rely on petrol.

After ABC questions, Muthukrishnan committed to at least one more shipment. He said future orders are uncertain.

About 700 residents
Town population
30 to 40 kilometres
Distance to next fuel
More than 3 weeks
Fuel supply halted
Sarathi Muthukrishnan
Business owner

Why it mattersSmall towns that depend on a single fuel supplier face real risk of service cuts when businesses cannot cover costs, leaving residents stranded.

AustraliaRural Victorian communities vulnerable to supply breaks when their single provider faces rising wholesale costs and thin margins.

✓ Claims checked against the source. checked 2 h ago

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