The ARA has recently responded to three Australian Government consultations to highlight the essential role rail freight will play in fuel conservation measures and decarbonising our transport networks.
The submissions focused on freight decarbonisation, cleaner fuels and fuel security, calling for coordinated policy settings that recognise rail’s role in supporting lower-emissions, resilient supply chains.
While each consultation addresses a different area of policy, the ARA’s submissions highlight the importance of ensuring new measures support rail freight competitiveness and the transition to lower-emissions transport.
2026–27 Review of the Safeguard Mechanism
In a joint submission with the Freight on Rail Group, the ARA has called for changes to the Safeguard Mechanism to address the disproportionate impact of current settings on rail freight compared with road.
The submission argues that shifting more freight to the existing rail network is one of the most immediate opportunities to reduce transport emissions and recommends removing rail freight from the Safeguard Mechanism or introducing measures to address competitive distortions between road and rail.
Read the ARA and Freight on Rail Group submission here.
Securing Australia’s cleaner fuels industry
The ARA has confirmed its support for the development of a commercially viable domestic low-carbon liquid fuel industry and a durable demand mechanism, provided its implementation reflects actual fuel supply, affordability and the operational requirements of rail.
The ARA’s submission highlights the potential role of renewable diesel and other low-carbon liquid fuels to decarbonise the existing locomotive fleet while battery-electric, hydrogen and other technologies continue to mature. It also calls for the mechanism to avoid unintended cost impacts that could shift freight from rail to higher-emissions road transport.
Read the ARA submission here.
Strengthening Australia’s fuel security and resilience
The ARA has also responded to the proposed Australian Fuel Security Reserve, highlighting the critical role rail plays in maintaining essential freight and supply chains during major disruptions.
The submission calls for nationally significant rail freight operations to be recognised as critical fuel users and recommends that the reserve be designed around the practical movement of fuel to where it is needed. It also recommends the Australian Government investigates rail’s potential role in distributing bulk diesel during supply disruptions.
Read the ARA submission here.
All ARA submissions can be found here.