Petrol prices heading for biggest price rise in 25 years 96



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It feels like only yesterday it was December and we were enjoying $1 a litre or less for petrol. Fast forward six months and petrol prices are heading for their biggest quarterly rise in the the last 25 years.

This is bad news for consumer and just about everyone who drives a petrol car, with fuel to soar above where it is now, around $1.41 per litre.

ABC reports that figures from the Australian Institute for Petroleum, published by CommSec, show the pump price has already risen by 13.1 per cent this quarter, which started 16 days ago.

Commsec has now warned that rising Singapore’s refinery prices will be passed on to us.

This week, petrol has risen almost 5 per cent in cities – Darwin has the cheapest unleaded (at $1.35 per L), whereas Brisbane and Melbourne were much higher this week, at $1.47 per litre.

This is due to the Singapore gasoline price jumping about 6 per cent last week. It’s hard to believe that six years ago, a barrel was $US52.20 and is now $US85.90.

We will now be paying 30c more per litre for fuel than we did mere months ago, adding $21 to the cost of filling up a tank on a medium sized car – can you afford that?

Commsec’s senior economist Craig James told NewsCorp that the lower pump prices from earlier this year had evaporated and now consumers are hurting. With that said, there is some good news.

“The good news for motorists is that petrol prices are still down on a year ago. The bad news is that the early February low point for pump prices is now a distant memory,” Mr James said.

“After falling by 12.2 per cent in the March quarter, the petrol price is currently up by 13.1 per cent in the June quarter,” Mr James said.

“Petrol is on track to the biggest quarterly increase in 24.5 years (since the December quarter 1990)”.


So tell us, how will you be affected by yet another fuel price rise?

Starts at 60 Writers

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  1. I recall in 1969 being horrified to find I had to pay 2 dollars to fill my first car a Datsun 1000…..prior to that it was about 1.50 to 1.75 to fill it from empty…..

    3 REPLY
    • I can remember my dad putting 10 shillings worth in the car. We had 12 gallon fuel tanks and the 10 shillings had to last us a fortnight.

  2. When Fuel rises, everything rises, fuel is used to transport most goods, and supermarkets pass that cost on to us, rising fuel costs affect everything. People like Gina Reinhart and the other big miners should not be subsidized for fuel but I would continue to subsidize our farmers

    1 REPLY
  3. I don’t know how anyone can afford these price hikes when they have only a pension to live on, pay rent, utilities, medication and it is just too hard. I have taxi vouchers and with them it still costs me about $6.00 to get to the shops or Dr. I suppose everything will cost more to offset the petrol hike.

  4. Buy a 4 cylinder. We have a 4 wheel drive for towing, and a 4 cylinder for day to day driving, but we really consider the cost of long range travel.

    1 REPLY
    • Many late model sixes give reasonably good economy nowadays, particularly driven gently on highway runs.

      1 REPLY
      • Yes Dennis, I’ve just changed cars from a 4 cylinder to a six and it is a car that is so economical if driven gently. Only use the accelerator to get out of a jam. I thought I’d buy this car as it was in excellent condition for an older one and was looked after by the previous owners and the 1994 one was a bit old. My 2008 Mitzi 360 is my prized possession, besides my motorbike. Yes, 65 and still a bikie!!

  5. I guess there will be less older people able to afford that long trip they have planned. Wasn’t it Joe Hockey who said ‘poor people don’t have cars’

  6. Why is the price so high when oil price is low and since when did the government subsidies fuel prices?

    3 REPLY
    • The govt has always subsidised fuel for the mining companies and big business. They don’t have to pay the fuel excise.

    • Point taken Ruth, fuel users where the fuel is used exclusively off road in those export industries for mining and agriculture big and small but they pay the tax ‘on road’ and it is policed ! But for road users the government would simply reduce their tax surely, not subsidies as implied!

  7. Good to see Darwin prices lower than the eastern states. Living in the Northern Territory for 30 years, we are accustomed to paying exhorbitant prices for fuel and the associated costs of transported goods. It’ll be just another day for us.

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