Australian Government rules out further fuel excise cuts

The Australian Federal Government has ruled out implementing another fuel excise cut to alleviate rising costs for motorists. Deputy Prime Minister Richard Marles stated that the government is not considering a repeat of previous cuts, focusing instead on other cost-of-living measures and prudent budget management.

Rising fuel prices, with diesel nearing $3 per litre and petrol exceeding $2, are being driven by international tensions in the Middle East, specifically impacting the Strait of Hormuz and the Bab al-Mandab Strait. These disruptions have affected the global fuel supply chain.

Australia currently maintains reserves of 42 days of petrol, 32 days of diesel, and 29 days of jet fuel. While aviation fuel stocks have seen a slight decrease recently, Environment Minister Murray Watt noted they remain within normal levels. The surge in fuel costs coincides with expectations that the Reserve Bank may consider further interest rate hikes.