Australia To Halve Fuel Tax For 3 Months

CANBERRA, March 30 (Bernama-Xinhua) -- Australian Prime Minister Anthony Albanese announced on Monday that the government will halve its tax on fuel sales in response to record-high prices, reported Xinhua.

Albanese told reporters in Canberra after meeting with the state and territory leaders on Monday morning that the fuel excise will be cut for three months from Wednesday.

He said that the initiative would reduce the cost of petrol and diesel by 26.3 cents per litre amid rising prices driven by the oil crisis caused by the West Asia conflict.

According to the latest data from the Australian Institute of Petroleum (AIP), the national average price for regular unleaded fuel hit a record high of A$2.53 (about US$1.73) per litre in the week to Sunday, an increase of 6.3 per cent from A$2.38 the previous week.

The national average diesel price rose by 9.7 per cent in the same period to A$3.1 per litre, the AIP said.

"We understand that Australians are under serious pressure," Albanese said on Monday.

Additionally, he announced that the road user charge of 32.4 cents per litre of diesel used by heavy vehicles will be reduced to zero for three months to provide relief for the trucking industry.

Treasurer Jim Chalmers said the two measures would cost the government an estimated A$2.55 billion in lost revenue.

“From an economic perspective, the end of the conflict in West Asia cannot come soon enough. In the meantime, the government is stepping in to provide relief wherever we can do so responsibly,” he said.

On top of the cost-of-living relief measures, Albanese said on Monday that the state and territory leaders have agreed to a national plan that outlines how governments will work together on fuel security.  

-- BERNAMA-XINHUA