HIGH petrol prices continue to be an issue of concern among Wimmera residents.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
Petrol prices yesterday as listed as the RACV website were between $1.49 to $1.54 for unleaded and $1.51 to $1.56 for diesel.
RACV vehicle engineering manager Michael Case said the average fuel price in Horsham increased from $1.40 to $1.48 over the course of April. He said there was a very similar trend in Ararat, during the same period, as average fuel prices increased from $1.41 to $1.49.
“Most regional towns across Victoria exhibit ‘sticky pricing’, where prices remain consistent for extended periods regardless of Melbourne fuel price cycle trends or wholesale prices. Overall, regional towns tend to respond slower to changes in wholesale prices,” he said.
Mr Case also said the price of petrol was driven by service station’s attempting to undercut each other.
“Petrol pricing is determined by the pricing cycle, which is the result of competition and driven by service stations attempting to undercut each other,” he said. “When this reaches a point that is unsustainable, retailers drive prices back up and the majority of petrol stations follow.”
A country fuel price tracker included in each edition of the Wimmera Mail-Times showed the average price in the past year for unleaded fuel was $1.34 and $1.42 for diesel. In Ararat unleaded was sold at an average price of $1.35 and $1.32 for diesel. Petrol prices were cheaper in Ballarat where the average cost of unleaded fuel was $1.30 and $1.28 cents for diesel.
In the past month the price of petrol has seemed to have jumped for no apparent reason
- Gary Chester
Horsham’s Gary Chester was one reader to reach out to the Mail-Times this week and queried why the fuel prices were so high.
He said the price was frustrating because there did not appeared to be a reason for companies to sell fuel so high.
“In the past month the price of petrol has seemed to have jumped for no apparent reason. When I have been travelling from Horsham through to Stawell, Ararat and Ballarat the price difference is noticeable,” he said.
Mr Chester said the reasons people are given does not added up. He said he was told the further people are away from metropolitan areas the more expensive fuel is due to transportation costs.
“When we are only two hours away from Ballarat and we can get petrol for 20 cents cheaper than Horsham that shoots that excuse down,” he said.