Outgoing Treasurer Tim Pallas announced an average annual increase of $60 per household to fund statewide emergency services.
The current levy will be replaced from July 1, 2025, by the newly-named Emergency Services and Volunteers Fund, which will overhaul funding for the state’s six emergency services, including the CFA and SES.
Active CFA and SES volunteers will be exempt from paying the levy.
State Member for Euroa Annabelle Cleeland said the changes were a “mixed bag”.
“After years of standing with our volunteer firefighters and calling for a fairer go, it is pleasing to see Labor finally surrender and change their broken Fire Services Levy,” Ms Cleeland said.
“The persistence of our volunteers and advocacy from The Nationals has ensured that they will receive a well-deserved exemption that recognises all the incredible work they do in keeping our communities safe.”
Ms Cleeland and Nationals leader Danny O’Brien met with the region’s CFA captains in Seymour on December 4 to discuss fairer funding and better resources for volunteers.
Ms Cleeland expressed concern over ageing trucks and outdated equipment which she said endangered the lives of volunteers.
“This year’s levy increase has done little to support our CFA brigades, which remain underfunded and ill-equipped to protect our communities,” she said.
The changes are part of the government addressing a $1.4 billion shortfall in the mid-year state budget compared to the May budget’s forecast, with Mr Pallas coming under criticism for the levy being a ‘cash grab’.
Mr Pallas said the $60 increase in the levy was equivalent to the cost of one cup of coffee per month.
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