You are right of course Belly, it would be a significant step forward,
but it would require the politicians to admit that the problem is that
urgent.
If government could be convinced that it is an urgent problem then it
is my belief that the following steps should be taken;

All new cars to be LPG fitted.
All LPG made from natural gas.
Petrol and diesel rationing introduced.
Export of natural gas prohibited.
Electric cars be developed and produced with tax advantages.

The above will have significant trade difficulties with China and
Japan but this is no more than oil exporting countries are doing to
maintain their internal usage.

Ultimately all transport will be electrical and in the long term
everything we do will have to move in that direction.

There is little hope in getting politicians to agree to any of the
suggestions I have made at least until shortages develop and we
find that Australia cannot obtain the required supply of oil.
Drivers in petrol queues get very angry.

Bazz your points are good but turn the fight another way, we both know governments do not act so we should.
Why cop it?
If , oh yes it has been said before, we bought our petrol from one service station brand name, for a month.
That one only, the cheapest, how long would it take to start a price war?
The international price of oil would not come down but locked pumps on Tuesday would end.
And if a peoples movement against fuel prices was born?
If 5% of us, all it would take, went out on the streets demanding no tax on LPG for 5 years.
No state rego fees for LPG cars for 5 years we could start using less imported petrol.

Belly,
I think your suggestion of a directed buying campaign won't
work because the price power is at the refineries which supply all brands.

I see that ASPO Australia has good coverage in Melbourne papers about
the need to take action in Sydney. The NSW government spokesman is still
unaware of developments in the ethanol field as they are boasting about their campaign to promote ethanol.

http://news.theage.com.au/sydney-must-prepare-now-for-peak-oil/20080317-1zwt.html

It is extraordinary that they are so out of touch.
The best we could hope from our governments is that they might build
the motorways to be suitable for conversion to railways, light or heavy.
I am afraid politicians just lack the ability of comprehension and
to be able to visualise a possible future.

Bazz I think you need to re read my post I was not saying boycott would work only that it would keep them honest in that respect it would work.
I have kept an eye on the NSW legislation mandating ethanol use, it is a progressive move.
Ripping up freeways to build rail? no never it will not be called for.
When we do run truly short of petroleum products a new fuel will come to life like a miracle trust me.
Why do we cop it? easier to complain than act.