Australia facing record high fuel prices

Australia is facing record fuel price highs as the economy emerges from the effects of a global pandemic.

The average price of fuel in Australia is expected to continue rising, with the current national average reaching 176.9 on Friday, February 18. According to statistics published by the ABC, Australia’s annual inflation is currently running at 3.5 per cent, hitting its highest measure in half a century.

Here are the top prices you can expect in your capital cities:

Brisbane – 218.9 cents per lire.

Sydney – 221.9 cents per litre.

Melbourne – 205.9 cents pre litre.

Perth – 197.9 cents per litre.

Adelaide – 189.9 cents per litre.

Canberra – 199.9 cents per litre.

Hobart – 218.9 cents per litre.

According to the Australia Bureau of Statistics, fuel prices have been on the rise for six consecutive quarters and have now reached their peak since 1990.

Regional fuel prices are frequently higher but fluctuate less compared to capital city prices which can be increasingly temperamental depending on the distance required for the fuel to travel. Australia sits within the Asia-Pacific market which, according to a report on the Asia-Pacific E-fuel Market, is intended to “grow at a CAGR 23.9% during the forecast period, 2019-2025”.

Australia currently formulates its benchmark pricing based on the Singapore market which, when combined with Australian taxes, makes up almost the total wholesale price of petrol.

Nonetheless, Australia is still winning the race when it comes to global fuel prices, with the Netherlands paying a top price of approximately 275 cents and countries including Finland, Greece, Portugal, Italy, Israel, Denmark and Norway remaining at around the 150 cents mark.

According to analysts, there are multiple factors at play for the rise in global fuel prices, including the recent emergence of global economies since the effects of Covid-19 and the inability of the global oil supply to meet demand.

National Roads and Motorists’ Association (NRMA) spokesperson, John Macgowan said, “The global financial crisis (from 2007 to 2008) was the last time consumers paid this much for regular unleaded and E10″.

“Brisbane and northern NSW led the nationwide prices during the last six month. Given the high global oil prices, other jurisdictions will continue to see escalating prices until we get some relief in oil demand.”

Prices are unlikely to drop for some time.