Additional fuel excise relief for the month of July
The Federal Government will extend fuel excise relief for another month, making petrol and diesel 16 cents per litre during July, saving Australians around $11 per tank.
The Federal Government has announced a one-month extension of its temporary reduction in fuel excise, with the discounted rate to apply from 1 July to 2 August 2026.
Under the extension, fuel excise will remain 16 cents per litre lower, providing continued short-term relief for motorists and businesses while fuel markets continue to stabilise. For a typical 65-litre tank, the measure is expected to reduce fuel costs by around $11 compared with the full excise rate.
The temporary reduction will be accompanied by a 16-cent reduction in the Heavy Vehicle Road User Charge over the same period, providing additional support for the road transport sector.
The extension follows the three-month fuel excise reduction introduced earlier this year in response to heightened global fuel price volatility. The Government said the phased approach is intended to support households and businesses while allowing a gradual return to normal fuel taxation arrangements.
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The Australian Competition and Consumer Commission (ACCC) will continue monitoring fuel prices to encourage the lower excise rate to be reflected at the bowser.
The announcement forms part of a broader package of fuel security and cost-of-living measures introduced in recent months, including investments in fuel reserves, supply security, domestic production initiatives and infrastructure supporting alternative transport technologies.
Fuel prices have eased significantly since their earlier peaks, although the Government noted that many households and businesses continue to experience cost pressures.
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Source: Department of Climate Change, Energy, the Environment and Water (DCCEEW) 21 June 2026, Joint media release: Additional fuel excise relief for the month of July, Australian Government