The measures, announced by Prime Minister Anthony Albanese, will run from 1 April to 30 June, cutting fuel costs by 26.3 cents per litre. ARC CEO Chris Rodwell said the steps will provide immediate relief to retailers facing rising freight and logistics costs.
“The Government’s decision to halve fuel excise and suspend the heavy vehicle road user charge will ease pressure across retail supply chains. This is critical given more than half of retailers are experiencing increases in freight and shipping costs of more than 10 per cent,” he said.
“The cut will make a meaningful difference in the short term, particularly for small retailers. It is important that we stay alert to other options to support retailers and households. Almost all retailers anticipate supply chain challenges will intensify if this conflict is protracted.”
“There is a clear need to improve supply chain resilience. We also need to deepen efforts to reduce the overall cost of doing business. That includes tackling regulatory complexity, easing compliance burdens and improving productivity across the economy.”
In a recent media release, the Federal Government encouraged Australians to use public transport to conserve fuel and reduce costs.
A recent survey published by the ARC found that increasing fuel and supply chain costs have dramatically increased pressure on retail businesses.
ARC's Pulse Survey results found that 58 per cent of participating businesses say current conditions may lead to staff reductions. 82 per cent of participants said a prolonged disruption, such as elevated fuel prices, would cause a serious impact on profitability.
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