Prime Minister Anthony Albanese says Australia's fuel supply remains secure for now - with 46 days of reserves - but is not ruling out tougher measures if global conditions worsen. 

Speaking after a National Cabinet meeting on Thursday, Albanese said Australia remained at Level 2 of its national fuel security plan, stressing there was no immediate risk of escalation but acknowledging the situation remained uncertain. 

He revealed Australia currently has 46 days of petrol supply, an improvement from levels recorded when the conflict began in late February when it was around 34 days. 

Albanese said the proportion of fuel Australia imports from the US, Argentina and Algeria had increased, with roughly 18 per cent now coming from the US, and Argentina's oil share climbing into double digits. 

'We'll continue to work to diversify where we can get fuel from, and the key here is achieving supply, that is our top priority,' he told reporters.

Level 2 of the Australian National Fuel Security Plan, known as 'Keep Australia Moving,' is a government response designed to manage pressure on fuel supply chains triggered by the Middle East War.   

Higher levels include more drastic measures, such as rationing. 

'Australia remains steady at Level 2 in our national fuel security plan that has been agreed to by National Cabinet,' Albanese said.

'Australia's fuel supply outlook remains secure in the near term. However, we're working hard to prepare for contingencies in the event of supply disruptions in fuel and in fertiliser.'

The government has also moved to bolster fuel supplies directly, including underwriting diesel shipments through Export Finance Australia.

'We've now had six cargoes of diesel, just a little bit over 300million litres, on their way to Australia as a result of the work that we've done,' Albanese said.

'We'll continue to do what we can to see if there are further cargoes available for purchase in the spot market.'

One of the first cargo ships part of the deal signed with Asian nations, including South Korea and Brunei, arrived in Sydney at Port Botany on Thursday. 

While refusing to speculate on whether Australia could move to Stage 3 of the fuel plan, the Prime Minister made it clear the government was preparing for all scenarios.

'It's certainly not imminent,' he said.

'But we are being straightforward with people – we are in uncertain times, and that's just the reality.'

While refusing to speculate on whether Australia could move to Stage 3 of the fuel plan, the Prime Minister made it clear the government was preparing for all scenarios.

'It's certainly not imminent,' he said.

'But we are being straightforward with people – we are in uncertain times, and that's just the reality.'

Level 3 of the Australian National Fuel Security Plan, known as 'Take Targeted Action', would be activated if fuel supply disruptions persist. 

'If the conflict ends tomorrow and the Strait of Hormuz opens tomorrow, then there is a time lag before the economic consequences of what has happened over the last two months flow through the system. It takes time to clear the Strait to make it safe. It will take time for the ships that have been stuck in the Gulf to reach their destination, to unload, and then to travel back to receive more supply.

'So there will be a long economic tail here.'

At this stage, the focus shifts to directing fuel to where it is most needed, such as freight, essential services and food supply chains, while encouraging Australians to voluntarily reduce fuel use.

Governments will intensify efforts to secure overseas fuel supplies and can release additional fuel from national reserves.

States and territories may adjust road‑use rules to improve efficiency and use existing powers to protect petrol station and bulk fuel supplies.