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ATA calls for fuel cost recovery order revival

The association has urged the Fair Work Commission to reinstate the order and keep it in place until September for truck operators

The Australian Trucking Association (ATA) has called on the Fair Work Commission to revive its fuel cost recovery order and keep it in place until September 3.

In a submission to the Commission, the ATA says the requirement in the order to adjust freight rates has ceased to apply because the weekly national average terminal gate price of diesel has fallen below the $2.00 per litre threshold in the order.

ATA CEO Mathew Munro says the commission should revive the cost recovery requirement to help trucking businesses recover the increase in fuel costs from the phase out of the government’s cuts to fuel excise and the road user charge.

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“The government’s decision to phase in the return of the normal fuel excise and road user charge rates has softened the blow on trucking businesses, but the total increase in the price of fuel and the road user charge will still be very large,” he says.

“It would be consistent with the purpose of the order to amend it so that businesses can recover these increased costs.”

He says the order was made on an emergency basis and was intended to apply only until the price surge caused by the Iran war was over.

“That’s why the ATA is proposing that the order cease on September 3, two freight rate adjustments after the fuel excise and road user charge rates return to normal,” he says.

“If the government decided that a further delay in the return to normal rates was needed because of international events, organisations like ARTIO or the TWU would be able to seek further changes to the order.”

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