IMMEDIATE relief has been provided to rural residents in the Mitchell Shire with the slashing of the fuel excise.
There was relief for residents at the petrol pump on Wednesday morning, with prices dropping as a result of the fuel excise cut, as well as a further slashing by another 5.7 cents per litre on Thursday as $400m in GST was set to be waived by state and territory governments.
Prices for unleaded 91 fell to 219.9 cents per litre at United and Solo Kilmore last Wednesday on the first day of the cut, while Reddy Express sold their 91 for 229.9.
In Wallan, prices were still at a premium, with Ampol selling their fuel for 233.6, United 244.9, 7-Eleven 244.9 and the BP on the Hume Freeway 229.9.
Broadford’s fuel was being sold for 259.9 at the petrol pump on Wednesday morning, while Seymour had seen drops at Liberty (229.5) and Ampol (233.6) but not at Shell or BP (259.9).
In an address to the nation on Wednesday night, Prime Minister Anthony Albanese said residents should consider saving fuel for those who needed it the most, and warned the supply issues could last months.
“The economic shocks caused by this (Middle East) war will be with us for months,” he said.
“And over coming weeks, if you can switch to catching the train or bus or tram to work, do so.
“That builds our reserves and it saves fuel for people who have no choice but to drive. Farmers and miners and tradies who need diesel every single day.”
However, Mr Albanese also urged Australians to live life as normal in the short term.
“Now, it’s the Australian way that people want to do their bit — and there are simple ways that you can. You should go about your business and your life, as normal,” he said.
“If you’re hitting the road, don’t take more fuel than you need — just fill up like you normally would.
“Think of others in your community, in the bush and in critical industries.”
Rural Councils Victoria, and Chair Rob Amos, said the decision to offer free public transport in Victoria for April was welcomed, but it also exposed the issue of public transport in country communities, saying this was too much of a Melbourne-centric idea.
“This is a great measure for Melbourne residents and people living in big regional cities with access to frequent and reliable public transport,” he said.
“Unfortunately, public transport is non-exist or not up to scratch in a lot of rural areas.
“For people in rural Victoria, driving isn’t optional – it’s essential. Our residents, farmers, health workers and small businesses can’t rely on public transport.
“However, we are hopeful a reduction in fuel consumption in Melbourne will help free up supply for rural areas.”
Cr Amos said Rural Council Victoria is crunching the numbers on the financial cost of fuel rises on councils and essential services.
“Without a quick end to this fuel crunch local councils will need extra support to keep covering the costs,” he said.
However, Cr Amos was more positive about the 50 per cent cut to the fuel excise numbers.
“This is great news for anybody who uses petrol, diesel or fertiliser,” he said.
“And that’s basically everybody in rural Victoria.”
Rural Aid Chief Executive Officer John Warlters said the fuel spike had placed pressure on rural Australians who didn’t have the option to take public transport the same way people in Melbourne did.
“Fuel is the lifeblood of rural communities. When prices surge like this, the impact is immediate and far-reaching,” he said.
“People in the city have options. In rural Australia, there is no public transport safety net and no way to simply cut back on travel. You still have to get to work, to school, to the doctor.”
The impact on diesel prices had been the greatest cause of concern, according to Mr Warlters.
“In parts of rural Australia, access to diesel has become less predictable. That uncertainty adds another layer of pressure for people already managing rising costs,” he said.
“Tourism is a critical part of many rural economies. If caravanners and visitors stay away because they can’t afford the fuel, that loss of income will be felt right across the community.”
As a result, freight costs have also heavily impacted rural Australians as well.
“When it costs more to move goods, families in the bush are the ones who feel it most at the checkout,” Mr Warlters said.
The move to cut the fuel excise and reduce the Heavy Vehicle Road User Charge was welcomed by Australian Livestock and Rural Transporters Association president Gerard Johnson.
“Road freight does not create fuel costs. It carries them,” he said.
“When diesel rises sharply, operators have no choice but to pass that on just to stay viable. This gives operators breathing room after weeks of intense cost pressure.
“This is a good result for operators, and it is a good result for the wider economy. Government responded quickly to a clear industry case, and that matters.”
