Prospects for extending the excise relief on petrol remain open, even as the prime minister reports improved fuel availability compared to pre-Iran conflict levels.
In his weekly briefing on Australia’s fuel security amid disruptions caused by the ongoing conflict, Anthony Albanese did not dismiss the possibility of prolonging the tax relief.
The government had previously reduced the excise tax per liter at petrol stations to ease costs for drivers, with this temporary measure set to conclude at the end of June.
“We’ll evaluate the situation as we approach July 1,” Albanese stated in Sydney on Saturday. He highlighted other tax relief measures set to commence with the new financial year, which could mitigate the impact should the excise reduction end.
“Starting July 1, we’re introducing the first of five tax cut installments initiated by my administration,” he noted, referring to revised income tax reductions and other announced relief measures.
Australia now has 44 days’ worth of petrol, two days more than last week’s update and eight days more than the day the Iran bombing began.
The country has 36 days worth of diesel and 35 days worth of jet fuel.
The prime minister said Australia had more petrol, jet fuel and diesel than on 28 February, when the United States and Israel attacked Iran. It’s not the first time he’s used that line, first deployed in a fuel report in April.
“We are in a better position than anyone was predicting prior to Easter, when we did the national address,” he said.
Australia remains at level two of its fuel plan that requests users only buy what they need and take voluntary steps to use less.
The 2026 federal budget, handed down on Tuesday, included a multi-billion-dollar fuel resilience package, including a $7.5 billion fuel and fertiliser security facility and $3.2 billion Australian fuel security reserve.
The package is designed to facilitate at least 50 days of onshore fuel supply and storage of diesel and aviation fuel.
Australia has also been ramping up its efforts to secure fuel supplies, with an additional three spot-market diesel cargoes secured on Friday.
The federal opposition, led by Angus Taylor, has been calling for the minimum stock-holding obligation to meet the 90-day requirement under the international energy treaty and advocating for more domestic oil and gas mining.
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