Australia’s tourist operators fear the widening fuel crisis triggered by the war in the Middle East is going to cost them millions of dollars in bookings for the looming school holidays and Easter long weekend.

Australian Hotels Association South Australian CEO Anna Moeller said bookings in Adelaide for the AFL’s Gather Round from April 9 were down up to 8 per cent on last year.

In regional South Australia, where many games will be played, bookings have fallen 20 per cent on 2025.

“Across the four nights, there’s definitely a dip on each night, particularly as you get towards the end,” Moeller told InDaily.

“It’s certainly not catastrophic – anything but. We’re still seeing much greater numbers than what we otherwise would see if you took Gather Round out of it.”

She said a combination of factors had contributed to the “softening”, including concerns about fuel shortages.

Gerard Egan, a member of the Richmond club’s cheer squad, said the number of Tigers fans planning to travel to SA for weekend had fallen. While up to 100 members would normally make the trip from Melbourne, Egan expected half that this year.

“Even now, people who are planning on going are now saying, ‘Let’s wait and see where we are the week before the match’,” he said.

“I’m planning to drive, but if we get into petrol restrictions and rationing, the chance of me wanting to risk driving over and being stuck somewhere in the middle of South Australia with no fuel isn’t a prospect that I want to face.”

Tourism Industry Council of South Australia CEO Shaun de Bruyn feared the state’s tourism sector could miss out on millions of dollars in the Easter school holidays due to spiking fuel bills.

“We’re seeing cancellations over the Easter school holiday period because people are concerned that if they travel, they may not be able to get back home,” he said.

“We are hearing reports that anywhere that’s two to three hours outside of Adelaide, which is more than a tank of fuel to go there and back, that people are receiving cancellations.”

Energy Minister Chris Bowen, who has updated parliament each day of fuel shortages in each state and territory, said on Thursday more than 500 had some issues.

“When you get a big increase in demand it takes time for the supply chain to recover to back-fill the existing demand. But the fact that the supply to regional Australia is up substantially shows the measures this government has put in place with industry, working closely in collaboration with the states, are seeing real progress, which is what Australians so desperately deserve and are receiving,” he said.

“The entire industry is working hard to catch up with the massive spike in demand that we saw after [strikes on Iran began on] February 28.”

De Bruyn urged state and federal governments to clearly communicate the fuel situation and put travellers at ease.

“We remain positive that these things will be resolved expeditiously and the impacts will start to soften and we can get back to doing business as normal,” he said.

Tasmanian tourism businesses are also reporting cancellations as costs rise, with potential visitors choosing to avoid regional and far-flung places amid fears of becoming stranded.

“We’re definitely getting cancellations [from] Europe and the US,” Robert Pennicott from Pennicott Wilderness Journeys told the ABC this week.

International visitors normally make up 15-18 per cent of customers for Pennicott’s business, which offers cruises in south-east Tasmania. But he said he remained optimistic about domestic tourists.

“As long as there is still a supply of fuel, I believe a lot more interstate people will be reluctant to travel to Europe and to areas that don’t feel safe … Tasmania [will be] looked at as being an incredibly safe destination,” he said.

Pennicott said his business wouldn’t survive if fuel supplies dried up.

“If either [fuel] tankers weren’t coming, or they were having to prioritise primary production rather than tourism, that’s where my concern is,” he said.

Holiday-makers say they will reconsider their plans if fuel reaches $3 a litre. Photo: Reflections Holiday Parks

Last week, research by NSW’s largest holiday group, Reflections Holidays, found the tipping point for Australians to consider changing their holiday plans.

The study of 9000 respondents, conducted on March 18, found that so far less than 5 per cent were worried enough about the fuel crisis to delay holiday plans. But, almost two-thirds (62 per cent) said they would look to holiday closer to home if fuel hit $3 a litre.

Comments from those surveyed included: “The only thing we might change is that we might holiday closer to home”, “We are now planning shorter breaks and less destinations”, “I’m travelling around Australia and staying longer in places to spread out the cost”, and “We are trying to reduce our fuel use to let farmers and others who need it have priority”.

Unleaded 91 was selling for more than $2.50 a litre in Melbourne on Thursday, while there are reports of diesel topping $4 a litre in regional areas.

Reflections, which operates 40 holiday parks in NSW, is offering guests $25 credits to help with fuel bills and cost-of-living pressures.

“We hope this credit brings some peace of mind to our guests who have already booked over Easter or are weighing up whether to travel in April, because we know that they – like all of our team – are concerned by the rise in the cost of fuel, alongside general costs in living,” chief executive Nick Baker said.

“We are witnessing unique global circumstances, which have impacted the travel plans of Australians, and this requires a unique approach from us as an industry leader.”