According to the Australian Institute of Petroleum, the national average Australian price of unleaded petrol fell by 2.8 cents to 106.5 cents per litre in the week to February 28 – the lowest level in 7 years.
The national average Australian price of diesel petrol fell by 0.9 cents to 112.3 cents per litre in the week to February 28. Last week the metropolitan price fell by 0.8 cents to 111.8 c/l, while the regional average price fell by 0.9 cents to 112.8 c/l.
Today the national average wholesale (terminal gate) unleaded petrol price stands at 96.7 cents per litre, up 0.2 cents per litre on a week ago. The terminal gate diesel price stands at 93.4 cents a litre, up 0.6 cents over the week.
Last week the key Singapore gasoline price rose by US$5 or 11.6 per cent to US$48 a barrel. In Australian dollar terms the Singapore gasoline price rose by $5.79 a barrel or 9.6 per cent to $66.30 a barrel or 41.70 cents a litre…
Regional gasoline prices spiked last week. Still, these higher prices are still some way from filtering through to Australian pump prices.
The lower crude oil price is positive for consumers and businesses, lifting spending power. At the same time, the lower petrol price will keep downward pressure on the headline inflation rate. The average household is around $35 a month better off from the lower petrol price than in July last year.
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness.
Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.
