PETROL prices have surged up to 27.7c/litre in regional centres in the past seven months, according to recent RAA figures.
This jump in petrol prices since March has added more than $20 a week to fill the tank of a typical family sedan.
However, there is good news for motorists with a 15c/litre fall in wholesale petrol costs since mid-October as a result of increased oil supplies.
RAA spokesman Mark Borlace is urging fuel retailers across the state to pass on these savings to motorists at the pump.
“The significant fall in wholesale costs is welcome news for motorists who have been suffering rising prices since March, but any relief to motorists’ wallets will only be felt when pump prices also fall,” Mr Borlace said.
“The petrol price surge recorded between March and October had been driven by two key factors.
“Crude oil prices had increased because the Organisation of the Petroleum Exporting Countries and other major oil producing nations were limiting production, which was choking supply.”
Mr Borlace said the state of the Australian dollar was also impacting prices.
“And the Australian dollar had been depreciating against the US dollar, which was a problem because oil prices are quoted and bought in US dollars,” he said.
“Both these upward price pressures had been feeding through to the pump and ripping money out of already tight household budgets.”
The RAA surveyed 14 regional towns in SA and compared average petrol prices in March, the cheapest month of the year to date and last month.
Naracoorte recorded a 25.7c/litre increase, compared to Mount Gambier’s 22.7c/litre and Bordertown at 21.9c/litre.
Mr Borlace said factors influencing the range of price rises in regional centres included their location and population size.
“Some towns are further away from Adelaide, which impacts on the transport component costs and there are also varying levels of retail competition due to population sizes,” Mr Borlace said.
