The manufacturing-dependent construction materials sector is urging the Federal Government to prioritise its operations under Stage 3 of Australia’s National Fuel Security Plan, warning that disruptions to fuel access could halt manufacturing output and delay major construction projects, according to Cement Concrete & Aggregates Australia (CCAA).
The call, made as National Cabinet meets to discuss fuel security and contingency planning, centres on ensuring that diesel supplies remain available to support quarrying, manufacturing and freight activities across the construction materials supply chain.
New analysis by Oxford Economics, cited by CCAA, indicates the cement, concrete and aggregates industry contributes more than $20 billion to Australia’s GDP and supports over 112,000 jobs, forming a key foundation of the nation’s broader construction sector and public infrastructure pipeline.
CCAA Chief Executive Officer Michael Kilgariff said the manufacturing-intensive sector plays a critical role in enabling construction activity and should be explicitly recognised in any fuel prioritisation framework.
“The heavy construction materials sector is the first link in Australia’s construction supply chain. If it is not prioritised under Stage 3 settings, the consequences will be widespread across the economy,” he said.
“This is not discretionary activity — this is the sector that enables every road, bridge, home and energy project in the country.”
The organisation said rising costs are already affecting the construction materials supply chain, with concerns that worsening fuel constraints could lead to broader supply disruptions if the sector is not prioritised.
CCAA reiterated that diesel access is essential to maintaining continuous manufacturing and transport operations, warning that any interruption would have immediate downstream impacts.
“When fuel supply tightens, construction materials stop moving — and when materials don’t move, projects don’t proceed,” Mr Kilgariff said.
“Stage 3 planning must reflect the operational reality of this sector and prioritise it accordingly.”
The industry body has called for formal recognition of construction materials as an essential service within fuel security frameworks to provide greater certainty during supply disruptions, noting its ongoing engagement with governments through national and jurisdictional roundtables.
Mr Kilgariff said ensuring fuel access for the sector would be critical to maintaining progress on housing and infrastructure priorities.
“Housing supply, infrastructure delivery and economic productivity all depend on the reliable and continuous supply of construction materials,” he said.
“Ensuring our sector is prioritised under Stage 3 is fundamental to keeping Australia building.”
