Fuel prices rise again due to scheduled indexation
The National Road Transport Association urges the federal government to provide special assistance to the road transport industry.
| |
|
Rising fuel prices are hurting the transportation industry.
|
National Road Transport Association lamented the increase in the price of fuel as the indexation on the excise duty on diesel fuel goes from 0.221 cents per liter to 0.230 cents per litre.
This increase is in line with the Australian Tax Office’s semi-annual indexation of excise duty rates on fuels and petroleum products other than aviation fuels and certain petroleum-based products.
NatRoad CEO Warren Clark says it’s based on the upward movement of the consumer price index.
“While the increase may seem inconsequential in the scheme of things, even small increases reduce the viability of every trucking operator in the country,” Clark said.
“One of our members who operates a fleet estimates it will cost him $1,500 a week, or almost $80,000 a year.”
Prices in Australia’s transport sector have risen at a much higher rate than general inflation levels as measured by the Consumer Price Index (CPI). In the 12 months leading up to the June 2022 quarter, the CPI increased by 6.1%. The percentage increase for the Australian Bureau of Statistics’ transport sector, however, was 13.1%.
Clark said auto fuel prices have risen for eight consecutive quarters and heavy vehicles have suffered from the loss of the fuel tax credit in the last federal budget.
“We have spoken to the office of the new Federal Treasurer and expect this to be reinstated in September, but this step will come with a sharp increase in the cost of diesel fuel after the removal of the duty halving. ‘excise on the bowser.’
Subscribe to our newsletter
Sign up to receive the Owner Driver e-newsletter, digital magazine and other offers we choose to share with you straight to your inbox
You can also follow our updates by like us on facebook.
Trucks for rent | Forklifts for rent | Cranes for rent | Generators for rent | Transportable buildings for rent