There isn’t a brand-new, universal “petrol subsidy” for every Australian in 2025. But there are real, official ways to cut your fuel costs (or offset them), including Fuel Tax Credits for eligible businesses, a nationwide Seniors fuel discount at participating stations, and federal cost-of-living relief on energy bills that frees up household budgets.
Below is the latest, verified, no-nonsense guide (updated 8 August 2025).
What’s actually available in 2025?
1) Fuel Tax Credits
If you operate eligible machinery, plant, equipment or heavy vehicles, you may claim Fuel Tax Credits that refund the excise built into fuel prices (rates update each year). The Australian Taxation Office (ATO) confirms the 2024–25 business rates are in force now, with the schedule already set to change again in 2025–26.
Who it helps: transport operators, farms, construction, mining, and other qualifying businesses.
Where to claim: Business Activity Statement (BAS) or via ATO Online.
2) Seniors’ Fuel Discount
Eligible Seniors Card holders can save 4 cents per litre at participating United Petroleum service stations across NSW, SA, VIC and WA—an easy, stackable saving when fuel cycles peak.
3) Budget Relief That Indirectly Eases Fuel Pain (households & small biz)
The 2025–26 Federal Budget extends energy bill relief to the end of 2025: two $75 credits (total $150) automatically applied to most electricity bills, no application needed. Less pressure on bills = more room in the budget for petrol.
What’s not happening
- No universal “petrol subsidy” for all motorists has been announced by the federal government in 2025. If you see sites claiming cash-per-litre for every driver via myGov, treat it with caution and verify on ATO or energy.gov.au first.
2025 Fuel Price Context
Fuel excise is CPI-indexed twice yearly (around February and August). In early August 2025, media and industry outlets flagged another excise increase, adding to pump price pressure.
Eligibility & How To Claim
| Program / Relief | Who Qualifies | What You Get | How To Claim | Key 2025 Dates |
|---|---|---|---|---|
| Fuel Tax Credits (ATO) | Registered businesses using eligible fuels in machinery, equipment, or heavy vehicles (specific uses only) | Per-litre credit (rate depends on use & fuel type; may be reduced by the road user charge) | Claim via BAS / ATO Online; keep usage records | Rates current 1 Jul 2024–30 Jun 2025; next update 2025–26 year. |
| Seniors Fuel Discount (United Petroleum) | Seniors Card holders in NSW, SA, VIC, WA | 4¢/L off at participating stations | Show Seniors Card at checkout | Ongoing in 2025 (check local participation). |
| National Energy Bill Relief | All households + ~1M small businesses | $150 total (two × $75 credits auto-applied to power bills) | Automatic—no application for most customers | 1 Jul–31 Dec 2025 window for the two credits. |
Step-by-Step: Claiming Fuel Tax Credits
- Check eligibility & use-case: Confirm your vehicles/equipment and fuel uses qualify (e.g., off-road plant/equipment vs. heavy vehicles on public roads). Some road uses can be nil after road user charge.
- Register: Ensure your ABN and GST registration are current; you’ll need to be set up to claim on your BAS.
- Calculate: Use ATO rates for the applicable period; keep litre-accurate records of acquisitions and usage.
- Claim: Report credits in the Fuel Tax Credit box on your BAS (quarterly or monthly) or via ATO Online.
- Keep records: Retain invoices and usage logs to substantiate claims if the ATO requests evidence.
Smart Ways Households Can Cut Petrol Costs in 2025
- Use Seniors 4c/L (if eligible) and combine with shopper dockets for bigger wins.
- Plan your fill around your city’s price cycle; a difference of 10–25c/L across a week isn’t unusual in capitals. (Check your state/territory’s fuel-price monitoring sites or apps.)
- Lighten the load & inflate tyres: A 5–10% efficiency gain is common with proper maintenance and driving habits.
- Bundle savings: The $150 energy credit arriving on power bills in H2 2025 frees cash you can redirect to petrol.
Beware of “Too-Good-To-Be-True” Fuel Rebate Claims
You may see websites promising $0.25/Litre cash rebates to all drivers via myGov. Australia has official fuel relief mechanisms (above), but there is no universal cash-per-litre subsidy for every motorist in 2025.
While the headline “Massive 2025 Fuel Subsidy” sounds great, the real and official relief this year is more targeted:
- Businesses can claw back costs through Fuel Tax Credits (with rates that update each year and depend on use).
- Seniors can get a straight 4c/L discount at participating stations.
- Every household gets $150 in energy bill relief for the second half of 2025, indirectly easing the cost-of-living squeeze that includes petrol.
FAQs
Is there a new federal petrol subsidy for everyone in 2025?
No. There is no universal petrol-subsidy payout to all motorists. Official relief includes Fuel Tax Credits (business), Seniors 4c/L discounts, and $150 energy bill relief that frees up household cash.
I own a small transport business. How much can I get back?
I own a small transport business. How much can I get bIt depends on fuel type and use. The ATO publishes per-litre Fuel Tax Credit rates for each period.
Do I need to apply for the $150 bill relief?
For most customers, no. The credits are automatically applied in two $75 instalments on eligible electricity bills between 1 July and 31 December 2025
.