There could finally be some relief in sight at the petrol pump, with the Federal Government announced the plan to reduce the fuel excise budget a few weeks back.It’s not the only cost of living “cash splash” but Treasurer Josh Frydenberg denies the Coalition is trying to buy an election win.
This of course is probably not the case but to be honest he average Australian household probably doesn’t mind one way or another after priced exceeded two dollars per litre in the lead up to the Easter Long weekend.
The Treasurer said the government recognised fuel prices — “driven up by Russia’s invasion of Ukraine “— were at the forefront of many peoples’ concerns. What’s interesting about this, is that Australia does not actually buy its crude oil (which is used to make fuel) from Russia. This beg the question, why is Australia seeing the higher fuel prices? We have covered this in the article below.
Basically the federal government has suggested it will take a cut out of its own pockets by reducing the cut they get from fuel sales. This does not reduce the inflated costs internationally. What remains to be seen if if the Morrision Government prevails will this pricing structure remain the same or will it divert back after the election is won. Equally so is the question that if the opposition wins will they meet the same agreement?