Abolition of the State Off Road Diesel Fuel Subsidy

As part of the Commonwealth/State GST related reforms, the Commonwealth Government has advised that it has substantially cut fuel costs for business from 1 July 2000. The Commonwealth had advised that for off road use of fuel, the Diesel Fuel Rebate Scheme has been extended to cover rail and marine transport, and the rate of rebate has been increased for some existing users.

As a result of these reforms the South Australian State Government subsidy relating to the use of diesel fuel for off road use will no longer be required after 30 June 2000.

The current zone 3 subsidy relating to diesel fuel used for propelling a diesel powered road vehicle on road remains after the 30 June 2000. (The current rate of this subsidy is 1.94 cents per litre).

Persons purchasing diesel fuel for off road purposes after the 30 June 2000 are not entitled to receive the benefit of the zone 3 on road diesel fuel subsidy.

Any questions you may have in relation to claiming a rebate on diesel fuel used for certain off road uses after the 30 June 2000 must be directed to the Commonwealth Diesel Fuel Infoline 1300 657 162.

Also see Circular 198 for more information.

This page was last reviewed 16 October, 2007