Australia to Decide on Fuel Excise Rebate Extension Next Week Amid Ceasefire Deal

A decision on whether to extend the fuel excise rebate that's offering relief at the bowser will not be made until next week, with Prime Minister Anthony Albanese saying he will give Australians "appropriate notice".

Mr Albanese welcomed news that the United States and Iran have agreed to a ceasefire deal to end the war, stating it was in the interest of every country, not just Australia, for the "agreement to stick".

The prime minister said the government is yet to make an assessment over how the deal, which is set to be signed in Switzerland on Friday, will impact the decision to extend the fuel excise rebate, which slashed 26 cents per litre for motorists for three months.

The rebate, which was halved back in April in a bid to tackle soaring global oil prices following the closure in the Strait of Hormuz, is set to expire on June 30.

The prime minister said the expenditure review committee is set to reconvene over the issue early next week so that Australians have "appropriate notice".

Mr Albanese stressed that it would be "many months" before things returned to normal once the Strait of Hormuz reopens but the government continues to monitor the situation.

"So whilst, we want to see, the conflict end and we hope that that has occurred, we also want to be very conscious of the fact that that doesn't mean that everything returns to normal in just a day, or indeed a week or even a month," he said.

The government also made no mention of the heavy road user charge which was reduced to zero for the same period to take pressure of truck drivers and transport costs.

The temporary measures have cost the budget $2.5 billion.

Taylor weighs in on fuel extension call

Opposition Leader Angus Taylor praised the ceasefire deal as a "good thing".

"It means it will bring down the price of fuel at the bowser. That is what we have all wanted to see," he said.

Asked whether the government should extend the rebate, Mr Taylor said he will wait to see how fuel prices react over the coming days.

"The crude oil price at least has come down overnight, and we'd expect that to flow through to the bowser. But let's see if it's sustained," he said.

With details of the US-Iran deal not yet public, Mr Taylor said he hoped it included parameters around Iran's nuclear capabilities.

"We also want to see a peace deal, where the Iranian people are able to live their lives as they want to live them, but also that the rest of the world is secure and the nuclear capability that Iran has been building cannot be resumed," he said.

In a statement on Monday morning, Mr Albanese said resolving these long-term concerns were critical to ongoing dialogue and diplomacy.

"Iran must address longstanding concerns about its nuclear program and the threat it poses to international security," he said.

"Australia will continue to engage with international partners to promote peace, stability and security in the Middle East."