Australia's federal Coalition opposition has unveiled a "Fuel Price Shield" policy that would automatically halve the country's fuel excise — a government levy on petrol and diesel — whenever Brent crude oil averages more than US$100 a barrel over a two-week period, a cut the party estimates would save motorists roughly 27 cents per litre. The measure would be funded through a separate plan to slash tobacco excise by 80%, which the Coalition argues will drive illicit smokers back to the legal market and generate around A$8 billion over four years. Analysts caution, however, that the fuel savings would disproportionately benefit higher-income households who consume more fuel, that cheaper petrol could encourage greater consumption, and that lower tobacco taxes risk increasing smoking rates — meaning the success of both policies hinges heavily on how consumers actually respond to the price changes.