Australia Extends Fuel Excise Cut, Road User Charge Returns Partially

Sticking with the fuel excise. Labor frontbencher Tim Ayres called the tapering of the cut as the "right call" amid ongoing uncertainty in the Strait of Hormuz.

"It'll make some difference. It's a careful judgement. It's the right call in the interests of Australian motorists," he told Nine.

"We're still in an environment where there is uncertainty in terms of security in the Gulf and the Strait of Hormuz."

The 50 per cent discount, which has knocked 32 cents off each litre of petrol, will drop back to 16 cents between July 1 and August 2, before tapering off altogether.

Prime Minister Anthony Albanese will meet with his state counterparts for a national cabinet on fuel security later this morning.

It comes as the first shipment of urea locked in with industry and the Indonesian government arrives in Brisbane.

Australia's largest road freight transport association is calling on the federal government to rethink its decision to wind down the Heavy Vehicle Road User Charge reduction, and instead scrap the charge entirely until the end of the year.

Over the weekend, the government announced an extension to the fuel excise cut at a lower rate, along with the partial return of the road user charge (RUC). From April through to June 30, the RUC was removed, but from July 1 to August 2 it will increase to around 16 cents per litre.

CEO of the National Road Transport Association, Warren Clark, says the government's current plan for the RUC will negatively impact the road freight industry.

"This is not someone taking a joy ride in their car. This is a company providing an essential service to keep this economy going, to keep this country competitive on a world stage," Clark tells AM.

"We need the road user charge at zero until the end of the year. The reason that we say that is because, you know, it's so uncertain what's going to happen. Small business, trucking businesses, transport operators, they need certainty on, you know, what their costs are going to be, or some sort of certainty."

Clark says suspending the RUC for another six months would help keep costs down for the sector.

"It helps their cash flow. It keeps these guys in business. It keeps things moving."

Hi friends, welcome to our politics live blog. I'm Courtney Gould from the ABC's Parliament House team, here to guide you through the day.

Prime Minister Anthony Albanese will convene a virtual meeting of the national cabinet to discuss fuel security, a day after he confirmed the fuel excise cut will be extended for another month (albeit it at a lower rate of 16c a litre.)

Meanwhile, parliament is back. Can you believe we're at the start of another sitting fortnight? The governent is hoping it can get a deal with the Greens done and pass its changes to the capital gains tax discount and negative gearing this sitting.

Let's just jump right into it.

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