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Rubbish collection at risk as diesel prices surge

March 25, 2026 3:00 pm in by

Australians are being warned that rubbish collection services could soon be disrupted, as soaring diesel costs and fuel shortages put pressure on the waste industry.

Industry groups say some bin services may be reduced or even paused in the coming weeks, with operators struggling to afford fuel or secure enough supply to keep trucks on the road.

Waste contractors have called on the federal government to be added to the “priority fuel user” list, which would give them guaranteed access to diesel during a national fuel emergency. Without it, they warn essential services could be impacted.

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The sector says it plays a critical role in keeping communities running, particularly for hospitals, aged care facilities and supermarkets. If collections stop, public health issues could emerge within days.

Adding to the strain, many operators are absorbing rising fuel costs themselves, with existing council contracts often not allowing for price increases. Some smaller businesses may be forced to cut services or shut down altogether if diesel prices continue to climb.

The warnings come as fuel supply concerns grow nationwide, with hundreds of service stations already reporting shortages of certain fuel types.

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