These changes and others will take effect today, with Australians now having more certainty as to when they will pay less at the bowser.
When will petrol prices go down?
The fuel excise cut will go into effect today, April 1.
Given it will be signed into law, it means it will have an instant impact on the cost of fuel, with Albanese claiming it would reduce the cost of petrol by 26.3 cents per litre.
But – stations will have to first sell the batch of fuel they had paid for at the full rate of fuel excise.
The changes may not be immediate, unless you are filling up at a station that has a high turnover of fuel, and a new batch taxed at the half rate has already been bought and filled.
It could take a few days – or even weeks in some regional or rural areas – for the price decreases to flow on to the pump.
“It depends really on the turnover of the station,” Minister for Health Mark Butler told Today.
“It will be a few days at those very high turnover stations in the cities but as much as one or two weeks in other communities.”
A further measure of relief is the temporary halt of the heavy road vehicle user charge, which hits truckies with a 32.6 cents per litre charge on diesel.
This will also be in place for three months.
Why is petrol so expensive right now?
Longer term, the price of oil will continue to keep petrol prices high, and that is something out of the governments control.
Not only is oil more expensive, the volatile situation in the Middle East means it is harder for oil to get to Australia, even though the government insists supply isn’t a longer-term issue at the moment.
With increased demand, more people are rushing to fill up – some even hoarding petrol – which is leading to shortages and more pain at the pump for Australians in the cities and in the rural areas.
Are petrol stations running out of fuel?
Hundreds of petrol stations across Australia have reported running out of petrol or diesel at different points in the last two weeks.
It is difficult to ascertain the true levels, though states and territories often release daily figures of how many petrol stations are out of fuel.
Some petrol stations run out of both petrol and diesel, though some only run out of one or the other.
For example in New South Wales last weekend, 66 petrol stations were out of fuel.
However, Transport Minister John Graham said some regional areas that were low on fuel previously had been resupplied.
How long will these petrol prices last?
As mentioned before, the only way we will see prolonged relief at the pump will be when the price of oil drops.
That almost exclusively hinges on the fate of the Middle East conflict, which shows no signs of slowing anytime soon.
NSW Premier Chris Minns cautioned his state to prepare for long-term disruption as a result of the war.
“I am not seeing any indication that this will be resolved in 30 days,” Minns said.
“I don’t know whether it is going to be over in a week, or whether it’s going to be a prolonged situation… but we have got to prepare for every eventuality.”
How many days of petrol does Australia have left?
Briefing parliament yesterday, he said the country has nine days’ worth of petrol, 30 days’ worth of diesel; and 30 days’ worth of jet fuel.
Bowen said any shipments that were cancelled have been more than properly replaced, as he looks to ease fears of a drop in supply.
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