Aussie motorists are unlikely to see relief at the petrol pump over the coming weeks, after fuel prices hit their highest level all year.
The average price of petrol in Australia reached 196.5 cents a litre at the end of last week, according to the Australian Institute of Petroleum’s weekly report.
Prices were above $2 a litre in some parts of the country, with Sydney prices sitting at 207.9 cents, Adelaide at 206.4 cents and Hobart at 201 cents, on average.
Melbourne motorists paid an average of 194.1 cents, while Brisbane had the cheapest petrol prices at 188.2 cents.
NRMA found petrol prices in Australia hit a 13-month high for regular unleaded on Friday. NRMA spokesperson Peter Khoury said global oil prices remained extremely volatile and this was having a significant impact on fuel prices across Australia.
“Petrol pain continues to have a negative impact on Australian families, with high prices adding to Australia’s inflationary pressure and hurting family budgets,” Khoury said.
“The ongoing conflict in Ukraine, slow manufacturing growth in China, and a falling Australian dollar are some of the factors influencing prices. OPEC and other oil producers are also continuing to keep oil production tight, impacting supply.”
Prices to remain high
Commonwealth Bank mining and energy economist Vivek Dhar warned petrol prices would remain high for the coming weeks around $2 to $2.10 a litre, due to the weakening of the Australian dollar and current oil markets.
“Over the next few weeks, it is likely going to still track around current levels, if not slightly lower,” Dhar told ABC’s The Business.
Khoury said Sydney was nearing the top of the cycle last Friday and he expected prices to start to fall from this week. But he said prices wouldn’t drop to the mid-180 cents a litre - at the bottom of the cycle - for at least another three to four weeks.
“The NRMA encourages motorists to shop around for the best price. Before leaving home to fill up, motorists should jump onto the My NRMA app, or the fuel-check app for their state to find the best local price in their area,” Khoury said.