The Fair Work Commission (FWC) has issued an order aimed at addressing rising fuel costs impacting road transport operators. The order covers a number of sectors of the road transport industry and contain terms dealing with fuel cost recovery.
From 21 April 2026, primary parties and secondary parties in road transport contractual chains must adjust their rates fortnightly, or twice each calendar month, to
ensure recovery of the increased cost of fuel.
Existing rise-and-fall rates already in contracts, industrial instruments or other arrangements, including those commenced before 21 April 2026, may satisfy the rate adjustment obligations.
We understand that parties at the top of the supply chain will be required to cover fuel cost increases incurred by road transport operators engaged to perform work on their behalf. In practical terms, for works performed for a member by a contractor, the fuel cost increases can be passed through to the member.
Possible exposure points across member operations include transport and logistics, construction and civil works on pipeline and network assets, plant and equipment hire, waste collection, and road maintenance and fleet services.
For the detail of the Order to determine whether your business is captured, please refer to the Fair Work Commission’s
The Fair Work Amendment (Fairer Fuel) Act 2026 makes changes to the rules about road transport contractual chain orders. The reforms enable the Commission to set minimum standards for road transport operators and contractors in a timely way during sudden disruptions, such as the recent rising fuel costs.
For more information see Fairer Fuel: Reforms to road transport orders - Fair Work Ombudsman
For any questions or to engage more on this topic - please contact
Matt Williams
Head of Advocacy
mwilliams@apga.org.au