• The Finocchiaro CLP Government is supporting NT contractors under pressure due to fluctuating global fuel supply costs with short-term adjustments to eligible construction contracts

• Temporary arrangements will apply to invoices paid during March, April and May 2026 and will see fuel-related adjustments calculated monthly, rather than quarterly or annually, using published indices to better reflect real-time market conditions

• The measures aim to keep projects moving, supporting jobs, and making sure the NT's infrastructure pipeline remains deliverable and reliable while maintaining a fair and transparent framework for both Government and industry

The Finocchiaro CLP Government is delivering targeted, practical support to Territory contractors, with a temporary fuel cost escalation measure to help manage recent price volatility and keep critical infrastructure projects moving.

The Department of Logistics and Infrastructure will apply short-term adjustments to eligible construction contracts, recognising the pressures industry is currently facing due to fluctuating global fuel costs.

The temporary arrangements will apply to invoices paid during March, April and May 2026 and will see fuel-related adjustments calculated monthly, rather than quarterly or annually, using published indices to better reflect real-time market conditions.

Minister for Logistics and Infrastructure Bill Yan said the Government had listened to industry and acted.

“We have heard clearly from contractors across the Territory that fuel price volatility is putting real pressure on projects and on businesses,” he said.

“This is a practical, temporary measure that provides additional support where it’s needed, while ensuring we maintain a disciplined and responsible infrastructure program.”

“These measures also make sure we are responsible with taxpayer funds – that’s why this approach is temporary, targeted and fair.”

The measures will be automatically applied to eligible contracts, with no additional administrative burden on contractors.

Importantly, the approach does not change existing contract conditions or risk allocation, maintaining a fair and transparent framework for both Government and industry.

The initiative has been developed in consultation with industry and is supported by key peak bodies, reflecting a shared commitment to maintaining a strong and sustainable construction sector.

Minister Yan emphasised that the measures are temporary, targeted and fiscally responsible, designed to support continuity of delivery while responding to short-term market conditions.

“We are backing our contractors and supporting the industry that delivers for Territorians every day and helps us rebuild the economy,” he said.

“This is about keeping projects moving, supporting jobs, and making sure our infrastructure pipeline remains deliverable and reliable.”

"This is a proactive step providing some short-term relief for industry, while recognising that global fuel market conditions remain volatile and evolving, and their full impact will become clearer over time," he said.

Civil Contractors Federation NT CEO Greg Troughton said his members support the arrangements.

“The relief offered by the Minister today demonstrates a real appreciation of the plight of many civil contractors in the NT at the moment and a willingness to work with industry to find some solutions for a once in a lifetime event such as this,” he said.

Master Builders NT CEO Sallyann Innes acknowledged the CLP’s actions to support industry.

“We recognise the Government has taken steps to improve transparency and consistency in fuel pricing, which is important in a volatile market. These new temporary measures are targeted to Northern Territory Government projects and maintenance contracts," she said.

The Northern Territory Government will continue to monitor market conditions and will provide further advice if impacts persist beyond the temporary period.

More information click here.

Source: Northern Territory Government Newsroom