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Fuel price hike hits regional towns hardest

Western Plains App

Laura Williams

16 March 2022, 3:14 AM

Fuel price hike hits regional towns hardestE10 prices have risen well beyond $2 per litre.

Surging fuel prices across the state will inevitably hit the regions harder, with locals expecting the worst as experts predict that climbing prices are not expected to end anytime soon. 


A lack of public transport, further distances between destinations and the price of haulage are all factors that have the regions concerned as the prices of fuel continue to increase across the country, with little sign of reprieve. 


Despite Baradine’s fuel centre boasting one of the lowest prices in the state (as of 15 March) at 142.90 cents per litre of Unleaded 91, surrounding towns haven’t been able to match the lows.


In Trangie, a local fuel centre priced the same fuel at 207.9 cents, with Brewarrina reporting 213.9. 


Diesel is trending upwards of the $2 per litre mark in a similar way, with price jumps reaching up to 10 cents occurring in just days. 



Although western towns are occasionally priced lower than some city locations, Member for Barwon Roy Butler told the ABC that isolated areas will be hit the hardest. 


“People in my electorate don’t have access to any public transport which means the car is the way to get to school, to work, and to access healthcare. For people who are on limited or fixed incomes, this increase in fuel prices is going to hurt them directly,” Mr Butler said. 


The concern isn’t just around the cost of fuel, but the prices that will rise as a result, including the cost of goods that require transport from other areas, including prices on the supermarket shelves. 


Domestic fuel prices are driven by a number of factors. While company size and time of year can have an influence, international trends and location largely contribute to fluctuations in price. 


As long as Australia’s sanctions on Russia - the world’s third largest oil supplier - remain, the issue isn’t likely to go away, with few large domestic fuel reserves meaning that Australia relies on international supply to import crude oil.


Nationally, the government is facing increasing pressure to cut the ‘fuel excise’, a flat tax of 44.2 cents on every litre of fuel, a portion of which is used to pay for road infrastructure. 


So far, Prime Minister Scott Morrison has said that changes are unlikely to be made prior to the next budget. 


Mr Butler says that while cutting the excise may not be on the table, the government is looking into alternatives.


“The federal government is reluctant to roll back the excise because it leaves a huge hole in the budget, but also it means that essentially, they would have a very difficult time putting the fuel excise back in place down the track,” he said. 


“What they are talking about doing is other cost of living measures, which are not further defined or described just yet but they’re looking to take money from another area to supplement the money we’re spending on fuel,” Mr Butler said. 


While cuts to the fuel excise may provide short term relief for consumers, Mr Butler said the government should be looking towards more long term fixes. 


“I think we need to look at two strategies. One is around the scale of domestic production so we can refine oil here in Australia to produce fuel…the other would be more storage,” Mr Butler said. 


Minister for Customer Service Victor Dominello has recommended locals use the NSW FuelCheck app to compare prices and find the most affordable fuel available to them. 


“FuelCheck is the most reliable and comprehensive source of petrol price information in the market,” Mr Dominello said. 


This may be little comfort to those who don't have multiple fuel outlets close at hand.


Contact Us to let us know about your local fuel prices or the impacts on your life as prices soar.


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