The Coalition has proposed a “Fuel Price Shield” that would automatically halve fuel excise when global oil prices rise sharply, potentially reducing petrol prices by up to 27¢ a litre. Opposition Leader Angus Taylor said the scheme would protect households and businesses from international energy shocks, while Labor has ruled out another temporary excise cut.

The policy would be triggered when the two-week average Brent crude price exceeds US$100 a barrel and last until prices fall below that level or for up to three months. The Coalition estimates it would cost about $950 million per month and says funding would come from an 80 per cent tobacco-excise reduction, while Treasurer Jim Chalmers called it uncapped and unfunded; analysts also questioned whether the measure would offer more than short-term relief.