Australia rolls out free public transport as fuel crisis pushes petrol prices up 25%
Australia’s state governments are moving to contain rising fuel panic, with Victoria and Tasmania introducing emergency free public transport as petrol prices surge more than 25% amid Middle East supply disruptions.
The measures are designed to ease pressure on households and prevent a rush on fuel supplies, with officials pointing to the need to avoid panic-buying behaviour seen in past crises when supply chains tightened quickly.
Victoria will make all public transport free for one month from March 31, 2026, covering trains, trams, buses and regional V/Line services. Myki gates will remain open, with no need to touch on.
The scheme is expected to cost around $70 million.
Tasmania will keep public transport free until July 1, 2026 across all state bus networks and Derwent River ferry services.
Patronage has already lifted by around 20%, with commuters saving up to $88 a week as fuel nears $3 per litre in some areas.
Governments say the move is aimed at reducing fuel demand, easing cost-of-living pressure and keeping supply available for essential services like freight and emergency response.
NSW, Queensland and WA have ruled out similar measures for now, with NSW warning the crisis may be too prolonged for short-term fare relief to be effective.
For now, Victoria and Tasmania are leading the response – using free travel to take pressure off roads as fuel markets remain volatile.
