n October 2021, the key international petrol benchmark for Australia (Mogas 95), hit 83.7 cents per litre, which in real terms was the highest monthly average in seven years.
The report showed that Australian petrol prices have been increasing since November 2020, after reaching record lows in April 2020 following the initial impact of COVID-19.
In November 2021, drivers in the five largest cities on average were paying about 48 cents per litre more for petrol, than they were a year ago.
“Many people are rightly upset about the pressure that the current high petrol prices are putting on their household budget,” Mr Sims said.
“It is important to understand that this is predominately due to higher international prices and the actions of the OPEC cartel.”
OPEC and other crude oil producing countries, including Russia, have only marginally increased supply since agreeing on major production cuts in the middle of last year.
As a result, weekly average crude oil prices more than doubled from about US$38 ($53.16) a barrel in early November 2020, to about US$85 ($118.90) a barrel at the end of October 2021.
“The OPEC cartel’s restriction of oil production is ultimately causing Australian motorists to pay very high prices for petrol at the moment,” Mr Sims said.
“We will continue to keep a very close eye on the petrol market, and now that the international refined petrol price has started falling, we expect to see retail prices here do the same.”