PRESENTER SALLY SARA: Well, to federal politics now. And the battle for control of the Strait of Hormuz has intensified overnight with US President Donald Trump announcing a new naval blockade of ports and a proposed 20% charge on carriers to help maintain security in the vital waterway. Kristy McBain is the Minister for Emergency Management, Regional Development, Local Government and Territories and the Acting Minister for Infrastructure and Transport. Minister, welcome back to breakfast.

MINISTER FOR EMERGENCY MANAGEMENT AND ACTING MINISTER FOR TRANSPORT, KRISTY MCBAIN: Thanks for having me.

SARA: What's the federal government's view on what these new events may mean for the supply of fuel to Australia?

MCBAIN: Australia has long called for de-escalation and an end to this conflict. As we've said, the longer this war goes on, the greater the impact will be, particularly to Australian households and Australian businesses. So, we really need to see some restraint here and constructive engagement to prevent further escalation and secure a lasting agreement which will benefit not only Australia, but other countries around the world as well.

SARA: Where are things sitting at the moment with Australia's reserves of fuel? Petrol and diesel and aviation fuel?

MCBAIN: As we've been highlighting, and the Minister for Energy has been giving those numbers daily, we've been steadily increasing our reserves. We now hold more reserves in the country than we did at the end of February and we'll continue to secure additional shipments as required. We've been working really constructively with industry not only for fuel supplies, but also for fertiliser supplies to make sure that we have enough here. And obviously in the budget we made a big allocation to make sure not only that we've got companies holding reserves here, but we will have a government owned reserve as well.

SARA: The US President also proposed a new 20% charge on shipping through the Strait of Hormuz. Are Australian consumers going to ultimately pay that at the petrol pump?

MCBAIN: Oh, look, we'll wait to see what happens here, but as I said, we've called for de-escalation. We know that there needs to be an agreement that is struck and one that lasts because because otherwise it is Australian households and consumers who ultimately end up paying the price. But we'll continue to play our part here and continue to call for that de-escalation.

SARA: Does the Federal Government think that the oil market globally is more resilient than thought earlier this year?

MCBAIN: I think we've seen countries work together pretty constructively, as well as a range of industry players, to divert fuel supplies around a whole bunch of different waterways. We haven't seen the crisis escalate as perhaps everyone thought it might. But I think it is really important that shipping continues to be free wherever it goes and make sure that there isn't any adverse outcomes to people who are ultimately ferrying these ships around.

SARA: The cut to fuel excise is due to end at the start of August. Given the continuing hostilities in the Middle East, is the government considering extending the measure?

MCBAIN: I think the Treasurer has been pretty clear that we'll continue to monitor the situation. We've extended that obviously until the end of this month and we'll monitor the situation and see what else needs to be done.

SARA: Putting on one of your other portfolio hats. It's almost a week since the major Telstra network outage. It's been reported that the outage was, quote, likely to have been caused by a server that had reached the end of its supported life almost a decade ago and was never replaced. Can the government confirm that?

MCBAIN: Telstra needs to ultimately account to what has happened here. I mean, we've got a couple of things currently underway. Not only is Telstra required by law to report to us within 45 days explaining what happened, ACMA will conduct their own investigation and the Triple Zero Custodian will also perform a post incident review. Both ACMA and the Triple Zero custodian have some pretty broad powers to compel information from Telstra as required. I mean, ultimately telcos can and should reduce the risk of one error cascading into another by monitoring their own systems. So, it is important, I think, that Telstra conducts their own review. But ACMA obviously will also be conducting their own investigation.

SARA: The new national mobile phone emergency warning system, AusAlert, will be tested in just under two weeks. There are concerns for people with smartwatches and tablets that will vibrate and play a siren. What's your advice to those who might need to keep phones silent for safety reasons?

MCBAIN: We're conducting our national test on 27 July at 2pm Eastern Standard Time. We've been working really closely with a range of experts and peak bodies in regards to people that may have hidden phones. And we've been issuing advice directly through those trusted partners and their channels around what people may need to do when it comes to that national test. But obviously there's a big media campaign underway at this point as well. So, we'll continue to work with our stakeholders on how they can provide advice to people who may need it.

SARA: The Australian Communications Consumer Action Network is advocating for domestic roaming. Is that something the government would consider?

MCBAIN: The Minister for Communications has been looking at a wide range of these things. Obviously, disaster roaming is one of those things that is often talked about and I'm sure she'll continue to work with the providers. We've got a range of legislation in front of the Parliament, including the Universal Outdoor Mobile Obligation, which will set a new standard for mobile phone access which until now hasn't existed. And it includes not only terrestrial services, but satellite. We want to be able to enforce standards and expectations for the Australian consumer. So, it would be great if the Coalition and Greens actually work with us on that because this would be a first in setting those new expectations.

SARA: Kristy McBain, thank you for joining me.

MCBAIN: Thank you.