The Fuel Excise Cut Is Ending And You Might Be Paying Up To 25 Cents Extra Per Litre

Better fill up quick.

Tomorrow will be the last day of the fuel excise cut, which means fuel prices will go up by almost 25 cents per litre.

That could mean you'll be paying $20 more for an 80-litre petrol tank.

Talk about a servo woe.

The cut was introduced in late March after the Russian invasion of Ukraine and supply chain issues worldwide led fuel costs to skyrocket, regularly reaching over 200 cents a litre across the country.

The increase in fuel costs is only part of the cost-of-living crisis affecting Australians, so early this year the then-Morrison government halved the fuel excise to 22.1 cents.

What’s a fuel excise? An excise is basically a tax that’s placed on goods in Australia. In Australia, excises are placed on goods such as fuel, electricity, or gas.

Young people are particularly struggling with the cost-of-living crisis, with soaring house prices, less secure job markets, stagnating salary growth and inflation all putting pressure on young Aussies’ wallets.

Young drivers, especially those on their P’s, are set to feel the brunt of the increased fuel cost.

The excise cut was always set to end on Wednesday night, but some are saying the Labor government should extend the policy.

Liberal MP Bridget Archer has accused the Government of not “taking any practical action to address the rising cost of living.”

But Labor Treasurer Jim Chalmers said although it’ll be a hard transition, it’s no longer realistic to keep it going.

“We’re not pretending that it will be an easy change. We know that many people would prefer that to be otherwise, but we just can’t afford it.”

Drivers only have today and tomorrow to get the cheaper fuel, so servos are bound to be super busy.