Australia Assures Fuel Supply as Oil Tops $100 and Petrol Hits A$1.88 a Litre

Q: Despite full reserves, how will your daily expenses change when the fuel excise discount vanishes on August 2 amid Middle East tensions?

Your daily expenses are likely to rise even if Australia’s fuel reserves stay full, because secure supply does not prevent higher prices at the pump. When the temporary fuel excise discount ends on August 2, about 16 cents a litre is expected to be added back to petrol and diesel prices, on top of any increases already flowing from higher global oil prices linked to the US-Iran conflict. At current averages of about $1.88 a litre for unleaded and $2.30 for diesel, the excise change alone would lift a 50-litre fill by roughly $8. For a household using 40 litres a week, that is about $6.40 extra weekly, or more than $330 a year, before allowing for further market-driven rises. Because Australian bowser prices usually lag global oil and Singapore benchmark moves by about one to two weeks, motorists could still face additional increases after August 2 if Middle East tensions keep oil elevated. The broader effect is not limited to driving. Higher fuel costs tend to feed into freight, delivery, food, packaging, travel and other transport-linked expenses, adding to household inflation. Analysts and ABS reporting have already pointed to fuel as a driver of higher transport costs and wider living-cost pressure. So the practical takeaway is that your main immediate hit will be a direct rise in refuelling costs from the excise reset, followed by possible secondary increases in everyday goods and services if oil market disruption persists.

3 articles · Updated · ABC News · Jul 25

Australia said its fuel supply is "solid and secure" as the US-Iran conflict re-escalates and motorists face another rise in pump prices.
Chris Bowen said the country holds more fuel in storage than when the Middle East conflict began, aiming to calm concerns over potential supply disruption.
Oil climbed above $100 a barrel this week for the first time since May, pushing the national average price for unleaded 91 to A$1.88 a litre and diesel to A$2.30.
The price pressure could intensify for drivers after August 2, when the fuel excise discount is due to expire after being halved this month to 16 cents a litre.

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ABC News22h ago

Australian Federal Government Assures "Solid, Secure" Fuel Supply Amid US-Iran Conflict, Rising Oil Prices

Facebook22h ago

The Australian Government has sought to reassure motorists that the country's fuel supplies remain secure despite rising petrol prices and escalating conflict in the Middle East. Oil prices have climbed above US$100

Instagram22h ago

Today I provided our weekly update on Australia's fuel stocks. Australia currently has: ⛽️ 42 days of petrol 🛻 38 days of diesel ✈️ 32 days of jet fuel That's 15% more

If Australia's fuel supply is truly secure, why are motorists still facing skyrocketing costs at the pump and broader inflationary pressures?

Could escalating Middle East conflicts and surging oil prices finally force a massive shift away from Australia's heavy dependence on imported fossil fuels?

Despite full reserves, how will your daily expenses change when the fuel excise discount vanishes on August 2 amid Middle East tensions?

Australia Assures Fuel Supply as Oil Tops $100 and Petrol Hits A$1.88 a Litre

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