Buying and using diesel—on and off road

The Fuel Subsidy Scheme was abolished on 1 July 2009.

History of the off-road diesel fuel subsidy

From 1 July 2000, the federal government pays off-road diesel subsidies. All states and territories discontinued their own off-road diesel subsidies at this time.

From this date:

• Queensland off-road diesel licences (and any interim purchasing arrangements) do not apply
• the Queensland fuel subsidy of 8.354 cents per litre does not apply to diesel used for an off-road purpose or in a vehicle that is not eligible.

The Commonwealth is responsible for fuel tax credits. If you have any enquiries about the off-road diesel subsidy, contact the Australian Taxation Office.

Eligible vehicles

A vehicle with a diesel engine was eligible for the subsidy if it:

• met the standard regulations for registration under the Transport Operations (Road Use Management) Act 1995 

and

• travelled on a public road.

If your vehicle is conditionally registered, you will not be able to claim the subsidy.

As of 1 June 2006, ‘diesel engine road vehicles’ are vehicles with a diesel engine and which use a public road. Before 1 June 2006, a diesel engine road vehicle was a vehicle with a diesel engine and which was designed solely (or principally) for transporting persons, goods or animals by road.

Some examples of diesel engine road vehicles are:

• concrete pumping trucks
• mobile cranes
• elevating work platforms
• truck-based drillers and street sweepers.

Conditionally registered vehicles that use diesel are not eligible to claim the subsidy.

For more information about vehicle registration visit the Queensland Department of Transport website.