INDUSTRY groups and unions have welcomed the federal government’s fuel relief package aimed at easing the pressure on businesses who are paying more for energy since the start of the war in West Asia.
The package was announced this week by Prime Minister Anthony Albanese and Treasurer Jim Chalmers.
Victorian Transport Association chief executive Peter Anderson said the measure would provide essential cash flow support.
“This gives operators immediate breathing space at a time when fuel volatility is pushing many businesses to the brink,” Mr Anderson said.
“These are practical, meaningful steps that acknowledge the vital role transport plays in keeping Australia moving."
Mr Anderson praised the bipartisan commitment that sent “a clear signal that both sides of parliament recognise the seriousness of Australia’s fuel security challenges”.
“This is exactly the kind of cooperation the industry needs right now,” he said.
Australian Logistics Council chief executive Hermione Parsons also welcomed the package, but said broader systemic issues needed addressing.
“Fuel only matters if it can be transported to where it needs to be used. The system that moves it needs to be part of the response,” Dr Parsons said.
“Australia’s fuel supply chain relies on long-distance movement across a dispersed national network, with road transport especially carrying the bulk of the task.”
ALC CEO Hermione Parsons. Image: Abby Williams / DCN
Dr Parsons said the current conditions also highlight the need to better use existing freight rail capacity.
“Freight rail can move volume at scale with less pressure on fuel and workforce. That matters in a constrained environment,” she said.
“We are not getting full value from the existing freight rail network, and this needs to be sorted with the help of the government.”
Chief executive of the International Forwarders and Customs Brokers Association of Australia (IFCBAA), Scott Carson, called on all major “oil, gas and fuel distributors” to immediately lower the price of diesel, petrol and liquified gas.
“IFCBAA now calls on all industry service providers to immediately reduce their fuel-based surcharges back to pre-Middle East Crisis levels,” Mr Carson said.
Transport Workers Union national secretary Michael Kaine said the legislation would bring “a sigh of relief to the tens of thousands in road transport currently facing one of the toughest challenges”.
“These changes provide the potential for a flexible, ongoing mechanism to lift the burden of fuel cost increases from drivers and operators,” he said.
“This is an industry emergency and we commend the federal government for quickly acting to ensure owner drivers and trucking businesses can emerge on the other side.”