Tamworth transport industry says customers will feel the pinch as fuel excise cut dries up

And despite the federal government claiming petrol prices won't shoot up immediately when the fuel tax excise returns to normal next week, the industry believes it will only be a matter of time.

Northwest Express Tamworth operations manager Kellie Tulacz told the Leader running a freight business has been increasingly difficult, with an AdBlue shortage only adding to skyrocketing costs.

"When AdBlue wasn't able to come in the country, the price was just through the roof, and we stocked up on it then, but it will only last so long," she said.

"We've had to put wages up to get staff to work due to shortages, which is another issue as well adding to costs."

While the 22 cent per litre fuel discount helped consumers, it didn't really change the bottom line for business, Ms Tulacz said.

With the local company operating nation-wide, she said one job can cost thousands in fuel, and that's without paying wages or accommodation.

"I've just put in for one truck to be filled for a job in Tasmania, fuel to get down and back is $2,426. So it's a lot of money," she said.

"There's that guilt about having to charge our consumers so much, but we have to cover our costs and we're aware of what our costs are.

READ ALSO:

"We haven't been able to do anything to combat it, everybody is suffering, but transport-wise we are the ones on road keeping the country going, and there is not very much support out there."

The fuel excise was halved for six months to combat soaring petrol prices, but is set to return to its normal level on September 29.

But transport operators have welcomed news the federal government will bring back a fuel tax credit system that gives eligible businesses refunds, set to be reinstated when the cuts to the fuel excise finish.

Transport Workers Union National Secretary Michael Kaine said it's an enormous relief, particularly for owner drivers who operate small businesses.

"The Morrison government ripped away their lifeline with no warning, leaving them scrambling with a sudden, unsustainable hike in their operating costs," he said.

"The debacle highlights the urgent need for supply chain accountability to ensure cost recovery is not an uphill battle."

Ms Tulacz said the long-standing lifeline allowing transport businesses to claim 18 cents per litre back on fuel is "welcome relief".

Our journalists work hard to provide local, up-to-date news to the community. This is how you can continue to access our trusted content: