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Australia's chance to move from fuel importer to green fuel exporter

Without economic incentives and clear policy mandates, companies see little reason to invest in more expensive sustainable alternatives.

By Carbon3 team1 min read

Screenshot of a video interview from the program The Polity, with two speakers on a split screen and the caption 'So that's a bit of a challenge.'

Without strong economic incentives and clear policy mandates, many companies see little reason to invest in more expensive sustainable alternatives.

"Get that balance right, and Australia has a genuine opportunity to move from fuel importer to competitive regional exporter in the Asia-Pacific green fuels economy."

The observation applies well beyond Australia. In most markets the sustainable fuel costs more, the mandate is either absent or delayed, and the producer cannot reach a final investment decision without an offtake commitment that nobody is yet obliged to sign.

The gap can be closed from the demand side. Cargo owners and airlines with Scope 3 targets have a commercial reason to commit early to a regional green fuel supply, and insetting gives them a way to share the premium and claim the reduction. A region that assembles that demand first has a real chance of becoming the exporter the post describes.

Originally published on LinkedIn, 3 July 2026.

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