Fuel Prices

[Mortalkombat]

I have just got back from a trip to Bali. A holiday for my lovely long suffering wife (puts up with me hheeeeee) While there I looked at the cost of the petrol it was 4500RP a liter now you may think that’s expensive but when you do the exchange rate conversion it works out to 65 cent a liter. My question is why so cheap there, are we giving the government 50 odd cents a liter in Tax!!!!! Someone’s making some bucks somewhere I also see a record profit for Caltex but of coarse we are not being ripped off!!!!!!! Just an observation
Nick

[Blueby]

Last time i looked we are paying close to 70c a liter i taxes so there your difference in a nut shell - how do you think we can afford to keep all our pollies and public servants in the manner to which they have become accustomed >:(

(and fund the off tax cut to keep us voting for em)

[Scott_Thunder]

Why dont the aussie govt buy our petrol from them instead of the oil from the us in barrels lol

[jim_farrell]

I am pretty sure that most of our oil does come from asia, especially the lower grade stuff. Also i don't think it comes in barrels either, I think this is just a world trade measurement. I'm not sure on this point either but I believe our fuel is a little more expensive because we don't have enough refining facilities. All that said, relative to the world price, our fuel should've dropped in the last two months. But didn't........
Jim

[StevenM]

From what I understand Australia can produce 90% of its needs but the world demand dictates the barrel price which we ride on.

The rest and variances is Tax.

BTW, how big is a barrel?? ie how many litres / barrel.

[szopen]

Price of raw material (oil) is dictated by world price.

Rest of the difference is TAX (not only excise and GST but also tax on oil comp profits) plus small difference in cost of manufacturing and distribution (labor).

One barrel is 160L.

[StevenM]

Thats right szopen

Do the math

70 bucks a barrel.....mmmmm....43 cents/ litre someones making money

then you get the fact that Diesel comes off before petrol in the refining process before unleaded...figure that out why its more expensive.

[robersl]

yeh but you tell me why gas i going up at the same rate, and yes most of australia's fuel oil does come from here we actually export oil and caltex made $4 a barrell extra profit this year than they did last year so what does that tell you about pricing

shane

[szopen]

Thats right szopen

Do the math

70 bucks a barrel.....mmmmm....43 cents/ litre # someones making money

then you get the fact that Diesel comes off before petrol in the refining process before unleaded...figure that out why its more expensive.


To start with these are US cents. :-X

But the whole thing is a bit more complicated than this.

Basicaly only part of crude oil goes for gas the rest is used for distillate fuel oil, jet fuel, residual fuel and other oils. Each barrel of oil contains 42 gallons (159 L), which yields 19 to 20 gallons (75 L) of gasoline.


The diesel price thing was discussed here before. In vast majority of countries in the world diesel is cheaper (sometimes much cheaper) than gas. It is simply cheaper to produce so in Oz case the price difference has only one reason and it is TAX.

[cool_deaf_dude]

i heard a rumour that the price will hit up to $2.00 per Litre :o in the end of the year so i not know if that is true ?? :-/ :-/ so any suggest ??

cool dude ..

[marlinqld]

We actually import 30% of our total refined petrol we use.

We do this cause we dont have the refining capacitry to refine 100% of the petrol we need.

Oil companies claim they are expanding their refineries to fix this. Yeah right, hang on there goes a flock of flying pigs overhead ;D ;) ::)

And we are 70% self suffient in crude oli.

supid world parity pricing bumps the price up. and the government tariffs etc./

And why would the government stop the oil companies? their biggest cassh cow????????????????????

[PinHead]

Diesel is currently in high demand ..lots mor cars worldwide running on it therefore the old rule of supply and demand kicks in and raises the price.

A lot of our crude is not of sufficient grade to be used solely for petrol refining...have to add some heavier crude to make it usable...most of our crude comes from the wholesalers in Singapore so we get stuck with paying their prices..which may be the current oil price plus freight plus handling etc etc etc...who really knows..I doubt the oil companies will come clean on it all as they are making a killing at the moment..same as a lot of our minerals companies.

[Dignity]

It is all wrong. We should be paying a lot less. Mind you in England they pay about 1 pound per litre which is about $2.50 in our terms although they can travel around the entire country on a tank full. Diesel - used to be exactly one third the price of petrol many years ago. Unfortunately these days because our oil is very light we need to import heavier oil to refine into diesel as we need our supply to source the petrol market. Still a bloody rip off. Demand and supply rules. The govt is riding on the back of all this and is bringing in significantly more than originally budgeted for (this goes back a few years now). Unfortunatelty it is a cashcow for them and makes up for all their deficits in other areas. You wont see them changing policy too soon - how do you think Howard has stayed in power for so long - all that money to balance his budget for the las 10 years (been in power for 10 years - is that a coincidence). Take it away and he would be exposed as a charlatan.

Wouldn't mind living in Venezuala at 6 cents a litre and they are supposedly matching world parity. :-? :-?

And should the oil companies be investigated. Yes, yes and yes. You cant tell me there is no collusion going on when they all go up in price at the same time and all go down at the same time. Market price has nothing to do with it, Used to be because it was pension day Thursday. The oil companies got smarter. Most people get paid wednesday night so why not put the petrol price up wednesday afternoon before the majority have money to spend??

Guess I am being cynical, forget what you have read. The govt is pure, the oil companies are pure and I should be shot for having such thoughts. mmmmmmmmmmmmmmmmm! are there any reds under the table????

sam

[Jonli]

Guys ,

Let me clarify , the IDR. 4500.- / liter is SUBSIDIZED low grade diesel fuel , if you want to fill your boat's tanlk with a proper quality diesel fuel , the price is IDR. 6000.- / liter . :-/

Sportfishing boat owners aren't eligible to buy the subsidized fuels ( except by bending the law ) and in the case of car , I do
not use low octane petrol which is subsidized hence pay the full price of IFR. 6000.- / liter for Super 92 . :o

JonLi . 8-)

[trueblue]

Why did my response get deleted out of here??????

I give you the low down from inside the worldwide oil indusrty on why the prices are so high and how the major oil companies are making squillions and keeping the focus off how they are doing it and my response gets deleted...

Go figure...

[Feral]

We are constantly being ripped off in Brisbane for fuel.
I often travel around Queensland, and it is quite common for fuel in places like milmerrin, warwick, gympie to be 4c a litre cheaper than brisbane. (Further away as well, but these are on a same day comparison).

You also know you are getting ripped in Brissbane when diesel is cheaper than petrol, in Brisbane diesel is usually between 6 and 8c a lite dearer, so if the diesel is cheaper, you are getting ripped!.