Victoria will extend free public transport until the end of May before introducing half-price fares across the state from June 1, as the government moves to ease rising cost pressures linked to global fuel prices.
The Victorian Budget 2026/27 allocates $432 million to continue the temporary free travel measure and reduce fares for the remainder of the year. The change means a full daily fare will drop from $11.40 to $5.70 for travel anywhere across Victoria.
Premier Jacinta Allan said the policy was designed to support households facing higher living costs. “Free travel now – cheaper fares next,” she said. “As Premier, I’m determined to do everything in my control to help Victorians who are under pressure.” She added, “I know this won’t solve every problem, but it’s another step I can take to help Victorians right now.”
The government said the temporary free travel period in April had been widely used, helping reduce commuting costs and fuel demand. The extension to May will be followed by discounted fares from June through to the end of 2026.
Under the half-price scheme, trains, trams and buses will operate at reduced fares across the state. The government estimates the average daily commuter could save more than $850 over the period.
Minister for Public and Active Transport Gabrielle Williams said the reduced fares would encourage people to switch modes of transport. “Half-price fares deliver even greater savings for commuters – giving you more options to leave the car at home,” she said.
The government expects the measure to reduce pressure on fuel demand and ease congestion by taking cars off the road. Minister for Cost of Living Paul Edbrooke said, “Half-price fares keep pressure off the pump for the rest of the year.”
Reimbursements will be available for people holding myki passes during the discounted period. Public transport will remain free on a permanent basis for those under 18 and for eligible concession pass holders.
The government also confirmed that the rollout of tap-and-go payment systems across the network will resume from June 1.
Officials say the measures are intended to provide short-term relief as global conditions continue to affect fuel prices and household budgets across Victoria.
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