Federal Register of Legislation - Australian Government

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Road User Charge Determination 2008 (No. 1)

Authoritative Version
Determinations/Other as made
This Determination establishes a mechanism to reduce the fuel tax credit provided to eligible businesses and non-profit bodies for fuel used on a public road in vehicles with a gross vehicle mass of more than 4.5 tonnes for business purposes.
Administered by: Infrastructure and Transport
Registered 12 Mar 2008
Tabling HistoryDate
Tabled HR13-Mar-2008
Tabled Senate13-Mar-2008
Date of repeal 14 May 2008
Repealed by Disallowance in full
This Legislative Instrument has been subject to a Motion to Disallow:
Motion Date:
20-Mar-2008
Expiry Date:
01-Sep-2008
House:
Senate
Details:
Full
Resolution:
Disallowed
Resolution Date:
14-May-2008
Resolution Time:
Provisions:

EXPLANATORY STATEMENT

 

Issued by authority of the Minister for Infrastructure, Transport, Regional Development and Local Government

 

Fuel Tax Act 2006

 

Road User Charge Determination 2008 (No. 1)

 

 

The Road User Charge recovers part of the road construction and maintenance costs attributed to heavy vehicles (cost recovery).  The remainder of road construction and maintenance costs attributed to heavy vehicles is recovered by states and territories through heavy vehicle registration charges.

 

On 29 February 2008, Australian Transport Council Ministers voted unanimously to support the National Transport Commission’s 2007 Heavy Vehicle Charges Determination recommendations.  The 2007 Determination restructures and increases the cost base recovered from heavy vehicles in recognition of increases in road spending and to increase the proportion of recovery from the largest classes of heavy vehicles, which currently do not cover the costs of the damage that they do to the road network.  In line with this decision, this instrument determines a Road User Charge rate of $0.21 per litre of taxable fuel and is effective on 1 January 2009.

 

Detailed industry and stakeholder consultation was undertaken during 2007 by the NTC as part of their work to develop recommendations for the 2007 Heavy Vehicle Charges Determination.  This consultation included the release of a Draft Regulation Impact Statement for public comment in July 2007 and the release of a final Regulation Impact Statement on 29 February 2008.

 

The Fuel Tax Act 2006 (the Act) establishes a mechanism for the collection of the Road User Charge by reducing the fuel tax credit provided to eligible businesses and non-profit bodies for fuel used on a public road in vehicles with a gross vehicle mass of more than 4.5 tonnes for business purposes.

 

Subsection 43‑10(5) of the Act provides that the Minister for Infrastructure, Transport, Regional Development and Local Government (the Transport Minister) must determine the amount of the Road User Charge.

 

Divisions 41 and 43 of the Act provide that businesses registered or required to be registered for Goods and Services Tax and non-profit bodies are entitled to a partial fuel tax credit for fuel used on a public road for business purposes in registered vehicles with a gross mass of more than 4.5 tonnes.  The fuel tax credit claimable is equal to the amount of the effective fuel tax (excise) that is payable on the fuel minus the Road User Charge.

 

The Act does not specify any conditions that need to be satisfied before the Minister may make the instrument.

 

The instrument is a legislative instrument for the purposes of the Legislative Instruments Act 2003.