How much does the fuel excise cut save me?

The excise cut saves 26.3 cents per litre. If you use 50 litres per week, you save $13.15 per week, $57 per month, or $171 over the full 3-month period from April to June 2026.

When does the fuel excise cut start and end?

The halved fuel excise of 26.3c/L starts on 1 April 2026 and runs until 30 June 2026 — a 3-month period. The full excise of 52.6c/L is scheduled to return on 1 July 2026 unless the government extends the measure.

Is an EV cheaper to run than a petrol car?

Yes, significantly. At $2.45/L petrol and 8.5L/100km, a petrol car costs about 20.8c/km. An EV using 15kWh/100km at 18c/kWh costs about 2.7c/km — roughly 87% cheaper per kilometre for fuel/energy costs alone.

Will petrol prices drop immediately on April 1?

The excise cut is immediate, but retail prices typically take 1–2 weeks to fully reflect the reduction. Service stations need to sell through fuel they purchased at the old excise rate before the lower cost flows through to bowser prices.

Fuel Savings Calculator

Calculate your savings from the halved fuel excise (26.3c/L, April–June 2026). See weekly, monthly, and 3-month savings, plus compare petrol vs EV running costs.

Last verified: 5 May 2026

How much will the fuel excise cut save me?

The 2026 excise cut reduces fuel excise from 52.6c/L to 26.3c/L — a saving of 26.3 cents per litre — for the 3 months 1 April to 30 June 2026. For a typical commuter using 40 L/week, that is $10.52/week, $45.64/month, or ~$137 over 3 months. Retail prices normally take 1-2 weeks to fully reflect the cut as servos sell through pre-cut stock. Source: Australian Taxation Office; Treasury.

Worked example — petrol vs EV. Same 300 km/week commute. Petrol car at 8.5 L/100km and $2.45/L → 25.5 L × $2.45 = $62.48/week ($3,249/year). EV at 15 kWh/100km and 18c/kWh off-peak → 45 kWh × $0.18 = $8.10/week ($421/year) — a fuel saving of around $2,800/year before the novated-lease FBT exemption. Home solar charging drops EV running cost closer to zero.

Current pump price$2.40/L

National average is around $2.40/L following the Hormuz blockade. Check FuelCheck for your local price.

Vehicle fuel efficiency8.5 L/100km

Small cars 6–8, sedans 8–10, SUVs 10–13, utes 11–15.

Weekly commute distance (full week in office)200 km

Total km per week driving to/from work if you went in all 5 days.

Work-from-home days per weekNone

Drag to see how much WFH saves you at current fuel prices.

Options

Apply halved fuel excise (saves 26.3c/L, Apr–Jun 2026)Show Hormuz blockade impact (vs pre-war $1.75/L)Compare vs electric vehicle

Your fuel cost

Weekly

$36.33

Monthly

$157.41

Annual

$1,889.11

Effective pump price: $2.14/L (excise cut applied)

Running cost: 18.2c/km · Burning ~17.0L/week

Hormuz blockade impact

At pre-war prices ($1.75/L), your weekly fuel would cost $29.75. You're paying an extra $6.58/week — $342.11/year if prices stay where they are.

Excise cut: 26.3c/L, 1 Apr – 30 Jun 2026. Pre-war baseline: ~$1.75/L (Feb 2026). EV assumes home off-peak charging; public fast chargers run 50–60c/kWh. Figures are estimates for planning only.

General information and estimates only — not financial, tax, or legal advice. Always verify with a licensed adviser or the ATO.

From the Mate Network

Take Home Pay Calculator →

See how much of your salary you keep after tax to budget for fuel costs.

Fuel Savings Calculator

How much will the fuel excise cut save me?

Related reading

Related Tools

From the Mate Network