South Australian businesses are no strangers to disruption. From global shocks to local challenges, they have consistently adapted, innovated and endured. But if ever there were a moment that revealed both the resilience and vulnerability of South Australian businesses, it is now.
In just over 48 hours, more than 800 businesses responded to the South Australian Business Chamber’s snap Business Impact Fuel Survey. That level of engagement sends a clear message that the business community is under pressure and wants its voice heard.
Given what the Chamber is hearing on the ground, the findings are unsurprising. Sixty seven per cent of businesses report that fuel shortages are having a moderate to severe impact on their operations. This is not a future risk; it is a present and growing constraint on productivity, service delivery and business viability.
Importantly, businesses are not standing still. Nearly half are already changing their operations to reduce fuel consumption, and one in four are reviewing staffing levels. These are practical, necessary steps, but they are running out of room to move.
As resilient as business has been, confidence is beginning to erode. More than 24 percent of businesses are not confident they can withstand ongoing disruption. As each week passes, the greater the risk of longer-term damage to our state’s economy.
The data indicates a sector approaching a tipping point. While relatively few businesses have reduced staff hours or stood down employees so far, 22 per cent say they are likely to take these steps if conditions continue.
The impacts extend beyond operational disruption. Forty-three per cent of businesses report reduced customer spending. Nearly four in ten cite rising stress and mental health pressures. Supply chain delays and workforce attendance issues are adding further strain.
This is as much a human issue as an economic one. Particularly in regional and remote areas where fuel availability and pricing spikes weigh heavily following the raft of challenges experienced in the years following the COVID pandemic. Our Business Advice Hotline team is taking calls from rural operators looking as much for a sympathetic ear as they are for a solution.
The survey is clear in its ask from businesses. They need timely information, practical support and confidence that fuel supply challenges are being actively managed. Forty-one per cent say government support is required immediately – the reduction in fuel excise announced during the survey period will be welcome — with a further 30 percent expecting it will be needed within weeks. Just as importantly, 72 per cent are calling for clearer, more consistent communication as the situation evolves.
The tools a state government has at its disposal in this situation are relatively limited. Through the Industry Round Table, ours has undertaken broad and open consultation. While this has been a valuable resource for our leaders to be briefed in real time, what matters most now is turning that insight into decisive national action that protects South Australian businesses. The Premier’s influence in Canberra is critical at this time and may be the most impactful measure he can take.
