DW8 Growth, page-15444

Fuel excise rebate has also hindered margin in the logistics side of the business.

Last month, the Coalition halved the fuel excise from 44.2 cents to 22.1c per litre in response to soaring prices. That means car drivers are expected to see savings of about 22c per litre at the bowser. But the transport industry said changes to tax credits and charges for heavy vehicles mean trucks will only see a "minute" saving of 4.3c per litre by comparison.

Australian Trucking Association chair David Smith said the government failed to consult with operators before bringing in the changes.

"Ultimately it was something they could do for the voting public," he said. Mr Smith said difficult conversations with customers would have to be had as to why freight rates would not drop. Previously, out of the 44.2c fuel excise, trucks would receive 17.8c back as a tax credit. The gap of 26.4c is called the Road User Charge (RUC).

But now the federal government has slashed the excise to 22.1c and the tax credit to zero, meaning the gap truck drivers will pay on the RUC is 4.3c per litre less than before the budget changes.