Illawarra residents and businesses are feeling the pinch as fuel surcharges are applied to delivery services.
Australia Post has recently announced significant increases to its fuel surcharge on parcel deliveries, more than doubling some levies in response to rising fuel prices.
From April 23, the domestic parcel fuel surcharge for contract customers will jump from 4.8 per cent to 12 per cent, while surcharges on StarTrack Express and Premium services will rise from 15.5 per cent to 22.7 per cent.
Australia Post has said the increases are a “necessary change” to help manage the impact of higher fuel costs on operations.
Industry data also show other delivery firms increasing their fuel levies.
For example, DHL’s eCommerce arm has introduced a surcharge of around 24.5 per cent, on par with other carriers.
Small businesses that rely on these services have warned that the added costs will be passed down to consumers.
In local business forums, owners have reported suppliers raising prices and adding fuel levies for deliveries, with those costs ultimately landing on customers’ bills.
The rising charges come against a backdrop of broader national fuel cost pressures.
Prime Minister Anthony Albanese said the federal government had halved the fuel excise for three months in an attempt to ease petrol prices.
“The halving the fuel excise will reduce the cost of fuel by 26.3 cents per litre’,” Mr Albanese said.
For Illawarra residents, the change is noticeable.
Cafe employee Sian Luck said she was finding it tough.
“I don’t want to use my fuel to go out and get food, but now delivery will be too expensive anyways,” she said.
Food delivery platforms such as Uber Eats and others have also made adjustments to their pricing structures in response to fuel volatility, with some restaurants and cafés considering their own fuel levies on takeaway orders.
“I’m also worried that if it affects my work or they even introduce a restaurant surcharge, that my shifts will get cut back because there is less delivery and people,” Miss Luck said.
Economists say these surcharges reflect a broader trend across supply chains as fuel prices fluctuate.
In the meantime, consumers and businesses alike are weighing up whether delivery remains worth the extra cost.
