State and territory leaders have agreed to a further cut in the fuel excise, bringing hope of more relief at the bowser.
The Commonwealth on Monday agreed to halve the fuel excise on petrol and diesel by 26.3 cents a litre in an effort to moderate rising prices.
But National Cabinet was unable to agree on what states and territories should do with the additional GST revenue they were set to receive as a result of the higher cost of petrol and diesel.
Fuel prices have been on the rise since the Middle East conflict broke out. (ABC News: Steve Johns)
On Thursday morning, premiers and chief ministers from around the nation agreed to use that extra revenue — estimated to reach around $400 million by the end of June — to fund a further 5.7 cent per litre cut in the fuel excise.
It will bring the total reduction to 32 cents per litre until June 30.
“This will mean cheaper fuel for families and farmers and businesses,” WA Premier Roger Cook told ABC Radio Perth.
WA Premier Cook hopes the measure will ease the pressure on families and businesses. (ABC News: Andrew O’Connor)
Mr Cook, who led discussions between state and territory leaders, said it was up to the Commonwealth when that relief would flow through to drivers.
“We’ve advised the Commonwealth that we’re happy to forgo that $400 million from the GST pool,” he said.
“They will now need to implement what they need to do in order to make the excise changes as part of that decision.”
But he said it was expected to be passed “almost immediately” by Treasurer Jim Chalmers.