Dai Le (Fowler, Independent) Share this | Hansard source

I move:

That this House:

(1) acknowledges:

(a) Australians are currently battling the cost of living pressures and struggling to pay for mortgages, bills and everyday household needs;

(b) across various petrol stations within Australia, the petrol prices have consistently remained above $2 per litre and Australians are expected to pay approximately $100 to fill their tank or up to $200 for large vehicles; and

(c) in the electoral division of Fowler, being one of the most disadvantaged electorates, approximately 60 per cent of constituents rely on their vehicles to commute to and from work, including to other electorates;

(2) notes that the previous Government temporarily reduced fuel excise duty from 30 March 2022 to 28 September 2022, which provided significant relief to the cost of living crisis following the aftermath of COVID-19; and

(3) calls on the Government to indefinitely reduce fuel excise duty as a form of cost of living relief for Australians currently experiencing financial hardship.

We recently saw in the budget a grand plan for Australia's future: $22.7 billion for us to transition to a net zero economy over the next decade so that we can be globally competitive in the renewables industry. This is the A Future Made in Australia plan. It sounds very futuristic to think about and a positive goal to strive towards, but what about the present? How are people coping with the cost of living as the government goes full throttle towards a net zero economy?

I have spoken many times in this House about the current cost for the many working families in my electorate of Fowler—and, no doubt, across Western Sydney—of filling up a petrol car. I was hoping to see some form of relief in the budget—a cut to the fuel excise, which would benefit every working Australian—but there was nothing. Long gone is the dream of filling up your car's tank without the stress of the price per litre. These days it seems like a game: looking for the service station with the cheapest petrol. Australians can expect about $100 or more for a full tank if the vehicle is larger. A tank worth $100 may not even be enough to take you throughout the week, and then you may have to refuel again. Sixty per cent of my Fowler constituents rely on their vehicles as their primary mode of transport. They commute to work, which may be outside the electorate. They commute to grocery shopping. They commute to doctor appointments. They commute to take their loved ones to and from places. What do you think it means for them? More money spent on petrol—money they may not have during this cost-of-living crisis. Can you imagine students driving to university, with no jobs but having to throw down $100 just to get to class? What about apprentices having to drive to their site for formal training on apprentice wages? Do you think they can afford it? To add fuel to fire, many of my constituents have to pay heavy tolls to travel from the west to where they work, mostly in the city.

The Commissioner of the Australian Competition and Consumer Commission has shared that, while average petrol prices decreased in the December quarter of 2023, the retail petrol prices remain relatively high. Why hasn't the government done anything to force those energy companies to pass on cheaper fuel prices to our working people? Australian fuel prices are not controlled by the government and are dependent on the market—I get that. However, what about the GST and fuel excise that are levied by the Australian government? This is something within the control of the government of the day. Fuel excise is a flat sales tax levied by the government on petrol bought at the bowser and indexed twice a year in line with CPI. This is on top of the 10 per cent GST payable. As of 5 February 2024, the fuel excise levy has increased from 48.8c per litre to 49.6c per litre for every litre of petrol purchased. It may not be a small increase in the eyes of the government, but Australians can feel the pressure.

Australians are already living on the edge with the cost of living. Cutting fuel excise can give the relief that Aussies need during this time. The fuel excise was initially intended to be used to build roads infrastructure, but we now know that the money collected goes to general revenue. In times of economic crisis, why can't the government give Australians a little helping hand through cutting fuel excise? In 2022, the coalition government temporarily reduced fuel excise from 30 March 2022 to 28 September 2022, which provided significant relief to Australians following the aftermath of COVID-19. Many of my constituents were grateful for this policy and were disheartened when it ended.

In the Australian Financial Review in October 2023, it was reported that the government was not prepared to provide a cut to the fuel excise. Instead, I understand the government is pushing for cars that are more fuel-efficient, equipped with low-emissions and net zero technology—all well and good, but not everyone can afford an electric car. Electric cars are still novel to Australians and could cost them their entire salary. I get that there are cheaper electric cars from China, but Fowler constituents are still spending their money thinly across expenses to meet the cost of living. The Australian government cannot expect us all to jump on the EV wagon in this current economy. I know that my constituents won't be able to afford it. It is unavoidable that my constituents and many Australians must use their vehicles to get to and from their destinations. I thereby call on the government to consider indefinitely cutting the fuel excise to assist working Australians who need to make a living and can use the extra money where it actually matters—for their households, families and loved ones. Australians need this relief now, and this is a most modest ask of the government.

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