Public transport in two Australian states will be made free to incentivise people not to drive as fuel prices soar due to the war in the Middle East.

Victoria, home to Melbourne, has announced it will have free travel throughout April, while Tasmania has stated that commuters will not need to pay from Monday until the end of June.

However, other state governments have so far declined to follow suit, with New South Wales (where Sydney is located) indicating it is reserving funds to meet increased demand for public transport.

Australia is among many nations that have experienced sharp fuel price increases since the start of the US-Israel war with Iran and the resulting effective closure of the Strait of Hormuz.

The near-total blockade of this crucial shipping route has led several governments worldwide to start implementing measures to conserve fuel.

The average price of petrol in Australia had risen to A$2.38 a litre as of last Sunday, up from approximately A$2.09 when the war began a month ago, according to figures from the Australian Institute of Petroleum.

Tasmania's transport minister expressed that free school buses would also be initiated, saving families A$20 per week.