Kim Hassall
As at the end of December 2025 to the end of March 2025 we have seen non bulk diesel prices rise from $1.80 to $3.20 per litre. This was and effective rate post GST and the 19.2 diesel fuel credit of $1.44 to $271.71. This is an observable 88.6% increase.
Now how do you translate this large diesel increase into a total truck operating cost increase? Firstly, and it is essential that a transport company knows the cost profile for each of its truck types.
What makes up a cost profile? A cost profile can be represented as the percentage of individual costs. And there are a lot of costs to examine.
| Element | Element | Truck A | Truck B | Truck C |
|---|---|---|---|---|
| Driver Salary | Salary, Overtime, Allowances, Bonus | 29.30% | 21.40% | 44.60% |
| Driver on Costs | Superannuation, Rec leave, Long Service Leave , Sick Leave | 7.40% | 6.20% | 7.10% |
| Office | Payroll Tax, Workcover, Purchasing Costs, Scheduling, Supervision, Training, HR, OH&S | 5.20% | 6.20% | 7.00% |
| Fuel | Ex GST, Ex Diesel Fuel Credit | 31.90% | 28.10% | 23.00% |
| Ad-Blue | Ex GST | 2.70% | 1.50% | 1.10% |
| Tyres | Variable depending on configuration and Trailers/dollies | 4.10% | 7.10% | 2.30% |
| Maintenance | Averaging A,B.C services | 5.60% | 9.40% | 9.50% |
| Capital | Depreciation and capital costs/ Lease costs and buyout | 10.10% | 12.20% | 4.00% |
| Insurance | Based on specific operations/ configuration and commodity carried | 2.60% | 4.80% | 0.70% |
| Registration | Based on Configuration and axle numbers | 1.20% | 2.20% | 0.60% |
| TOTAL | 100% | 100% | 100% | |
| Recent impact of an 88.6% Increase in diesel fuel on profiles | 128.20% | 123.90% | 120.30% | |
| Total cost impact on specific truck operations | 28.20% | 23.9% | 20.30% | |
Truck A: A PBS 20 metre Semi-trailer with quad axle trailer, company driver, 230,000 kms/annum.
Truck B: Fleet 50% semis 50% B-Doubles, company drivers, 142,500 average (semis and BDs).
Truck C: Waste Compactor 8 x 4, company driver 25,000 kms per annum.
This analysis is indicative in the impacts of the recent diesel prices hitting $3.20 per litre. Offers of a 9% fuel levy does not come close to acceptable.