Australia's truck drivers have warned that the fuel crisis has pushed the industry to the brink of collapse, with shoppers yet to feel the full impact at the supermarket checkout as shipping costs surge. A recent Fuel Crisis Survey by the National Road Transport Association (NatRoad) of 182 truck drivers found that 70 percent of operators feared they would not survive the next six months if the conflict in Iran continues.
Impact of the Iran War
The war has led to the closure of the Strait of Hormuz, a shipping lane responsible for transporting 20 percent of the world's oil supply. Skyrocketing fuel prices are taking a heavy toll on the mental health of truck drivers and operators across Australia, reminiscent of the stress faced by farmers during droughts.
NatRoad CEO Warren Clark told the Daily Mail that he has two employees working full-time on the phones to provide support to those affected by the fuel crisis. He described many trucking operators as 'really struggling.'
'Every industry has mental health issues, but the mental health issues that we're hearing and seeing is that people are at their wits' end,' Mr Clark said. 'We had an interesting call on Tuesday (April 21) where a young woman rang up and said her fuel bill had doubled. Her mental health is stretched to the limit and it's spreading through the whole industry.'
Operator Experiences
Queensland operator Jason Tuttle reported that his monthly fuel bill jumped from $40,000 to $90,000, forcing him to reduce his fleet from four trucks to three. Mr Tuttle, who transports general freight from Brisbane to northern parts of the state, told the Daily Mail that he and other operators feel unsupported by the government.
'It does feel like the government hates the people,' Mr Tuttle said. 'The industry is on its knees, and they could do a lot more for us - certainly, we won't last six months. I don't think anyone will. It plays with your mental health, that's for sure.'
Mr Tuttle also expressed frustration with the National Heavy Vehicle Regulator (NHVR), which he claims is adding to operators' woes. 'They've got the NHVR out here pulling us up over every little thing,' he said. 'I had a mate who was 10mm over length from the front of the truck to the end of the trailer, and they fined him $1,000. How ridiculous. They're just picking on everybody at the moment.'
Economic Consequences
Mr Clark warned that the coming months would bring a 'dramatic situation' regarding cash flow. He noted that one in four operators have been forced to lay off staff, with small businesses expected to feel the pressure for at least six months. The trucking CEO also made a grim prediction about the prices of goods.
'We're absolutely kidding ourselves if we think this is not going to impact the cost of living,' he warned. 'There is absolutely no way that transport can absorb these costs, and the bigger end of town can't either, so it will be passed on to the consumer. Whether the government likes it or not, they'll have a cost of living crisis that's going to get worse. We'll gradually start to see these things, such as groceries, increase. The prices will go up, no doubt.'
Mr Tuttle echoed these predictions, warning that millions of households will be affected. 'I don't think we've seen the full impact of the cost of living yet, because sooner or later the big boys like Woolworths and Coles will pass on their costs,' he said. 'I never dreamed fuel would be $3 a litre, never. We have to tighten our belts.'
Government Response
Both Mr Tuttle and Mr Clark applauded the government's decision to halve the fuel excise for three months from April 1, which cut prices by 26.3 cents per litre. However, Mr Clark questioned what will happen when prices go back up in June.
'The government has been trying to help but they've only done it for a few months. We don't want them to reinstate things while this war goes on,' he said. 'Costs went up in Covid and they never seemed to go down and they're going up in this crisis. Everything is going to get more expensive.'
