The Australian Government is committing $49.5 million over 4 years to increase the security of the Diesel Exhaust Fluid (DEF) market.
DEF is essential for operation of many diesel vehicles, especially trucks. DEF reduces noxious emissions that are harmful to human health and the environment. Technical grade urea (TGU) is the key critical component of diesel exhaust fluid.
Minister for Climate Change and Energy Chris Bowen said “the market is currently well supplied and there are no shortages. The measures are being put in place deliver certainty and provide back-up in case of supply disruption.”
‘We are working closely with the industry to monitor stock levels and ensure the market is functioning properly and the supply chains are delivering,’ the Minister said.
The funding will support a comprehensive package of measures including:
- a government-controlled stockpile of 7500 tonnes of TGU providing 5 weeks of supply beyond industry stock levels, in the event of critical supply chain failure.
- a competitive grants program supporting sovereign capability and projects to produce TGU domestically.
- collection of voluntary data from industry for market awareness of TGU and diesel exhaust fluid stocks.