The Department of the Environment and Energy is running a procurement process in order to consistently hold up to 400,000 tonnes of oil stock tickets for the Australian Government from 1 October 2018 to 30 June 2020. An oil stock ticket is a contractual right to purchase or release oil, where the seller agrees to reserve a predetermined amount of oil for the period of the contract, in return for an agreed fee.
During an International Energy Agency (IEA) declared global oil emergency (known as a collective action), a ticket would give Australia the option to either purchase the reserved oil outright or to release the oil to market by cancelling the ticket, helping to ease the disruption in the oil market.
This procurement is part of the government’s plan for returning to compliance with the IEA’s 90-day oil stockholding requirement (for further information see the IEA program treaty).
If you have any questions about the oil ticketing procurement process, please read the Oil stock ticketing - procurement FAQs or email oil.tickets [at] environment.gov.au
Documents available for download:
- oil stock ticketing - registration
- oil stock ticketing - request for tender
(example from previous procurement process, will be updated for any future round)
- oil stock ticketing - offshore contract
- oil stock ticketing - onshore contract
- oil stock ticketing - general terms and conditions
(for sale and purchase of oil stock under a purchase option exercised pursuant to an oil stock ticket contract)
The approach to market process has 2 stages:
- A registration process, where applicants submit information about their business and have the opportunity to review the department’s template 'Oil stock ticket contracts and general terms and conditions'. If an applicant is successfully registered, they must also create an account on AusTender to participate in future requests for tender.
- A request for tender (RFT), where successfully registered applicants may submit tender offers to hold stocks.
The department will notify applicants and tenderers of any future tender rounds on this website. The department will run future tenders as required to maintain a maximum of 400,000 tonnes of oil stock tickets for the duration of the period 1 October 2018 to 30 June 2020. Two procurement processes have been finalised, and future rounds are being considered.
The registration process is open to:
- entities offering to hold stocks in Australia
- entities offering to hold stocks in a country that has a government-to-government arrangement between the Australian Government and the host government.
At present, the following countries have a government-to-government arrangement with the Australian Government:
- United States
- United Kingdom
- The Netherlands
Arrangements are also being negotiated with a number of other countries.
Potential suppliers are encouraged to visit this page periodically to receive updates on the status of future government-to-government arrangements. Please note that a government-to-government arrangement must be in place for the stock location by the registration lodgement date for a tender to be considered.
*A treaty has been signed with Hungary and is progressing toward entry into force. The governments of Australia and Hungary have agreed to allow ticketing to occur under the signed treaty.
Registration lodgement period
Registrations are currently open and the department welcomes applications for registration. Registration applications including accompanying documents must be lodged electronically at oil.tickets [at] environment.gov.au
A registration lodgement date will be made available on this website prior to any RFT process commencing.
On receipt of applications, the department will process them in the order they are received and will seek any clarifications the department deems necessary from the applicant.
Applicants are encouraged to submit their applications early, to ensure there is enough time to clarify information and contractual details, if required.
Notification of registration outcome
The department will notify applicants of their registration outcome following the completion of their assessment.
If an applicant is successfully registered, they will be able to participate in future RFTs as long as they remain registered.
In order to participate in the RFT, successful applicants will need to create an account with AusTender, the Australian Government’s AusTender website.
Request for tender (RFT)
There is currently no active tender round. Please visit this website regularly for updates on future tender rounds.