Hume council will write to the federal government urging it to cut the fuel excise.
Councillors voted at Monday’s council meeting to write to the government to cut the excise to help reduce the cost of fuel for residents who are struggling with the cost of living.
Councillor Sam Misho said a 50 per cent reduction in fuel excise would greatly benefit the residents of Hume and wider areas.
“Australia is currently facing high inflation which i making it hard for our community and everyday Australian families to make ends meet,” he said.
“The fuel excise is a flat sales tax levied by the Australian Federal Government on petrol and diesel and from February 2024 the rate has increased from 48.8 cents per litre to 49.6 cents per litre for every litre of fuel purchased.
“While 0.8 cents is by no means a dramatic rise, the latest increase will mean close to $40 in total excise costs for a large SUV with an 80-litre fuel tank.”
Australian motorists will pay $67.6 billion the next four years, for a typical household, this year’s fuel excise bill will be more than $1,000.
Hume council also estimates that it will pay approximately $500,000 per annum in fuel excise to provide essential services such as rubbish collection.
Cr Misho said while the long term solution may be electric vehicles, but at their current pricing and the current state of the cost of living crisis, it is not feasible to rely on EVs for all residents, and a reduction in fuel excise would help ease financial pressures for many families.
