Waiheke motorists are likely to be getting a lump of coal in their Christmas stockings this year, with petrol prices hitting $4 per litre.
AA principal advisor Terry Collins says there are many pressures driving up fuel nationwide and Waiheke drivers will likely be taking one of the biggest hits to their wallets.
Although the international oil market has settled down since the uncertainty and chaos at the start of the Ukraine war, oil prices will continue to ramp up from the current US$80 per barrel.
“We could possibly see it reach US$100 per barrel by Christmas but I expect it’ll be around $90. With Waiheke already paying around $3.60 per litre for Unleaded 91, it’ll likely hit $4.”
So, what goes into the prices drivers pay for petrol?
Ministry of Business, Innovation and Employment figures break down what makes up the mainport fuel price for 91 octane – that’s the weekly average of retail pump prices in Auckland, Wellington, Hamilton and Christchurch. The most recent statistics, for the week of 18 August, showed the mainport fuel price, adjusted for discounts, was $2.91 per litre. Around half of New Zealand’s refined fuel is imported from Singapore, the rest comes from the Marsden Point oil refinery and the supply costs account for $1.20 per litre. The Emissions Trading Scheme tax amounts to 15 cents a litre, and another $1.19 for all the assorted national fuel excises, taxes and levies. On top of that, there’s GST of 37 cents per litre and in Auckland there’s also a 10 cents per litre regional tax. The ministry calculates the margin shared between suppliers, retailers and petrol companies after supply costs, labelled the “importer margin” is 38 cents per litre. • Paul Mitchell
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