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Heavy vehicle charges consultation report

28 February 2020

Proposed increases in the truck fuel tax and registration charges should be delayed until 1 July 2021, the ATA submission on the NTC’s December 2019 heavy vehicle charges consultation report says.

In November 2019, transport ministers identified a preference for the truck fuel tax and registration charges to rise 2.5 per cent from 1 July 2020 and then another 2.5 per cent from 1 July 2021.

In total, this would see the effective tax on fuel increase 1.3 cents per litre. The national registration charge on a six axle articulated truck would increase $287,” Mr Maguire said.

Since November, the economic outlook for the trucking industry has got worse.

The unprecedented bushfires in late 2019 and early 2020 significantly affected the revenue of many trucking operators and will continue to affect them into the future. COVID-19 is expected to have a greater impact on the Australian economy and supply chains than the bushfires.

The submission recommends that the increases be deferred to 1 July 2021. Charges should then increase 2.5 per cent in 2021-22 and 2.6 per cent in 2022-23.

Governments have directed the National Transport Commission to prepare a new heavy vehicle charging determination. The submission sets out the issues that the NTC should consider, including the need to exclude the cost of rebuilding bushfire affected roads from future charging calculations.

The submission was approved by the ATA Transport and Economics Committee. The committee consists of ATA member representatives, who contributed their time to develop a unified position on the charging proposal.