The federal government's three-month cut to the fuel excise kicked in at the start of April, reducing the cost of petrol and diesel by 26.3 cents a litre in response to soaring prices caused by the US-led war on Iran.
Prime Minister Anthony Albanese has neither ruled out nor confirmed he will extend the discount after a budget that included $3.2 billion for a new, government-controlled fuel reserve.
"We'll make an assessment in the lead up to July 1," Mr Albanese said of the excise reduction.
The fuel tax cut is expected to cost the budget $2.55 billion in foregone revenue.
Mr Albanese went on to spruik other forms of tax relief starting in the new financial year that could cushion the blow if the excise cut is allowed to lapse.
Australia now has 44 days' worth of petrol, eight days more than when the bombing of Iran began, triggering Tehran's de facto closure of critical shipping corridor the Strait of Hormuz.
The nation has 36 days' worth of diesel and 35 days of jet fuel.
Shadow treasurer Tim Wilson would not say if the opposition supported an extension of the excise cut, preferring to wait to see how fuel shortages and price rises panned out.
"When we led this conversation originally and put the proposal forward, we made sure there were inflationary offsets because what we didn't want was more debt petrol on the inflation fire," he said.
States have been preparing for the worst, with several announcing plans for their own domestic stockpiles to deal with future fuel shortages.
The NSW government on Sunday called on the private sector to pitch projects that could safeguard against shocks to global supplies.
In collaboration with the Investment Delivery Authority, the government would help remove barriers to projects that met its criteria.
"I don't think anyone thinks that, even when this crisis is to come to an end, this will be the last time we are exposed to some of the uncertainty that is involved with such a heavy reliance on foreign oil," NSW Treasurer Daniel Mookhey told reporters.
"We want to partner with the private sector to make sure that we have a bit more control over our own fuel supply."
The SA government recently announced a commercial deal with bulk fuel supplier IOR that would allow it to buy and store 10 million litres of diesel.
Queensland has fast-tracked BP's lease extension, which is expected to deliver 54 million litres of extra commercial storage for diesel, petrol and aviation fuel in that state.
States agreed to work with the federal government to forgo extra GST revenue from higher fuel prices to put more downward pressure on costs at the bowser.
Mr Mookhey said his working assumption was the windfall GST measure would be paired with the federal government's fuel excise if the cut continues.
The nation remains at level two of the government's fuel plan, which asks users to buy only what they need and take voluntary steps to use less.
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