Public Support for Fuel Excise Cut
A significant majority of Australians support the federal government’s temporary reduction in fuel excise on petrol and diesel, according to recent research. This move was introduced in response to rising prices caused by the conflict in Iran. The excise rate for petrol and diesel was cut from 52.6 cents per litre to 26.3 cents for a period of three months starting last Wednesday.
A Roy Morgan survey of 2,514 individuals aged over 18, conducted before the government’s announcement, revealed that 83% of respondents backed the decision. The survey also highlighted various impacts of the fuel price changes on daily life.
Fuel Shortages and Consumer Behavior
According to the survey, 37% of respondents were aware of fuel shortages in their area, while 63% were not. Other findings indicated that nearly half of the participants had reduced their driving, 20% had altered their travel plans, and 9% had filled up with more fuel than necessary.
Despite the challenges, a large majority of respondents—76%—reported that fuel shortages or rising prices had not affected their ability to travel for work, medical appointments, school, or other essential activities. Only 24% said they had been impacted.
Price Adjustments and Fuel Availability
The speed at which prices changed varied depending on how quickly fuel stations could turnover their stock. Petrol stations needed to sell the batch of fuel they had purchased at the full excise rate before applying the savings at the pump.
As a result, it took until last Friday for the average cost of unleaded petrol to drop to $2.23 per litre, down from $2.46 on Tuesday. However, diesel prices have been slower to decrease below $3 per litre.
Government Response and Fuel Reserves
Energy Minister Chris Bowen recently addressed the issue on the ABC, stating that there are 238 service stations across Australia without diesel. Of these, 145 are located in New South Wales, where Bowen attributed the shortage to farmers being given priority during their sowing season.
Bowen also provided an update on fuel reserves, confirming that Australia has 39 days of petrol, 29 days of jet fuel, and 29 days of diesel available.
Staying Informed
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