Primary briefing · Gazette
high impact 54608 · R. 7426 · 2026-05-05
Fuel levy amendment — Part 5A Schedule 1 rates substituted (R. 7426)
Effective from
06 May 2026
Government Notice R. 7426, issued under section 48 of the Customs and Excise Act, 1964, amends Part 5A of Schedule No. 1 by substituting Note 8 and multiple fuel levy tariff items with effect from 6 May 2026. The general fuel levy is set at 110 cents per litre and the carbon fuel levy at 19 cents per litre for petrol (item 195.10.03). Illuminating kerosene, distillate fuel, specified aliphatic hydrocarbon solvents and other biodiesel attract only the carbon fuel levy at 23 cents per litre (general fuel levy nil). Biodiesel under item 195.20.01 is free of fuel levy. These substituted rates directly alter cost structures for importers, refiners, distributors and bulk consumers across the petroleum and biodiesel supply chain.
Who is affected
Fuel importers and distributorsPetroleum refinersBiodiesel producersTransport and logistics operatorsMining, agriculture and manufacturing sectors (bulk fuel consumers)Customs and excise practitioners What this means for practitioners
Apply the substituted fuel levy rates to all relevant transactions from 6 May 2026 — general fuel levy 110c/l plus carbon fuel levy 19c/l for petrol; carbon fuel levy only at 23c/l for kerosene, distillate fuel, hydrocarbon solvents and other biodiesel.
Update customs duty and cost calculations, invoicing systems and internal pricing models to reflect the new rates immediately.
Confirm that biodiesel under item 195.20.01 is treated as free of fuel levy in all declarations.
Review the companion diesel refund rate notice (R. 7427) for downstream refund entitlement implications.