Source : Perth Now news
Anthony Albanese has confirmed the fuel excise cut will be extended for another month.
The excise was first introduced in April and set to expire at the end of this month, with speculation it could be extended further.
The Prime Minister confirmed the fuel excise cut would be carried into July as the deal between the US and Iran to end the conflict in the Middle East.
Petrol and diesel prices will be 16 cents per litre cheaper compared to normal prices in July, expected to save drivers $11 per tank.
The cut will begin July 1 and run until August 2.
As part of the fuel excise cut extension, the Heavy Vehicle Road User Charge will also be reduced by 16 cents.
Extending the fuel excise reduction and cutting the Heavy Vehicle Road User Charge will cost about $400m.
Mr Albanese said extending the excise reduction would allow the economic and fuel stability to come into effect.
In March, Mr Albanese announced a three-month cut to the fuel excise of 32 cents per litre alongside reducing the Heavy Vehicle Road User Charge to zero, and deferring the next scheduled increase by six months.
“Today’s decision recognises that despite the welcome and substantial drop in the price of petrol recently, we know people are still under pressure,” he said.
“The 16 cents a litre extension to the fuel tax cut that we’ve announced today will reduce
the cost of a 65L tank of fuel by around $11.”
Treasurer Jim Chalmers said the temporary support would “help take the sting out of petrol prices and help Australians with the cost of living”.
“This extra month of fuel discount will help Australian motorists and businesses with the
cost of living as this support tapers off,” he said.
“On top of our other cost of living help including more tax cuts for every taxpayer, this will
make a meaningful difference when it comes to helping Australians make ends meet.”.
The Australian Competition and Consumer Commission (ACCC) will continue monitoring fuel prices to ensure the excise reduction is fully passed on at the bowser.
Earlier on Saturday, Mr Albanese urged residents to go about their daily business and to avoid stockpiling fuel, confirming more than 50 million litres of diesel was on its way to Australia
“My government has worked really hard to shield Australians from the worst impacts,” he said.
“We’ve said even though the conflict is on the other side of the world, and we were not protagonists, the impact has been felt right around the world, with an increase in fuel prices, the greatest the world has ever seen, and an impact, of course, on supply as well.
”We’ve worked really hard to ensure that Australia remains resilient, and that Australia remains prepared for this.”
Energy Minister Chris Bowen said the country had its second highest stockpile since 2023, with 44 days worth of petrol, 39 days of diesel and 32 days of jet fuel.
Mr Bowen said 51 ships were currently heading towards Australia, and 3.9 billion litres of fuel would be delivered over the next four weeks, including 1.9 billion litres of diesel, 586 million litres of petrol, 423 million litres of jet fuel and 948 million litres of crude oil.
“We’ve secured another 50 million litres of diesel through the EFA, which brings the total to just under 800 million litres,” he said.
“There continues to be uncertainty internationally, but that will continue to be the approach of the Albanese government, a calm approach.
“Working carefully with our trading partners, with the private sector, with all Australians to ensure the supply of fuel to Australia is as good as it possibly can be in these challenging international circumstances.”
