Federal Budget 2022: When the impact of fuel excise tax cuts flows to Australian drivers as cheaper gasoline

Perth’s average petrol price will fall by almost 7c on Thursday as relief begins to flow to Bowser as a result of the Morrison government’s decision to temporarily halve the fuel tax.

Tomorrow’s unleaded petrol averages 190.1 cpl, down from 196.8 cpl, the lowest price since March 8.

Diesel also fell 5.4cpl to an average price of 210.1cpl, which is also the most affordable price since early March.

Fuel sales tax, which adds 44.2c to the price per liter of gasoline and diesel, has been cut in half from midnight on Tuesday as part of the pre-election budget. “5-7 days”.

In Perth, gasoline terminal gate (or wholesale) prices fell 12.9c from 187.8cpl on Tuesday to 174.9cpl on Wednesday.

The Australian Convenience and Petroleum Marketers Association, the industry’s peak agency, predicted that a full 22c savings would be reflected in terminal gate prices by Thursday or Friday.

From there, ACAPMA CEO Mark McKenzie said it would take about a week for retailers to wash away the system with fuel purchased at old high wholesale prices.

“Usually, networks always have an amount of 5-7 days, which means that in most areas we see 5-7 days before cheaper fuel flows into the pump,” says Mackenzie.

Tomorrow’s unleaded petrol averages 190.1 cpl, down from 196.8 cpl, the lowest price since March 8. credit: Alberto Pesari/ /AP

Stephenmore, CEO of the Western Australia Motor Trade Association, has now agreed that Perth is in the middle of a bi-weekly price cycle and that prices should drop altogether “within a week” by 22c.

“We are now in the cheaper half of the fuel cycle, so we need to empty the tank early,” Moa said.

“These tanks are empty, so you can see that cheaper fuel is flowing.”

Moir said the Australian Competition and Consumer Commission is closely monitoring individual retailers to ensure that excise tax cuts have been fully inherited and the industry is not being used as a profitable wind and rain. Said.

“If you do something wrong, you can be fined up to $ 10 million, so the world’s leading retailers, Coles and Woolworths, respect what the government is trying to do and cut consumer living costs. It is expected to do, “he said. ..

But the main unknown is the cost of oil, which has been very volatile after a steady rise for the first two months of the year since Russia’s invasion of Ukraine.

After reaching a high of $ 128 a barrel on March 8, oil on Wednesday was trading on the global market for nearly $ 111.

Another significant surge could wipe out the entire 22c excise tax cut, but drivers remain better than without a temporary tax exemption due in September. increase.

Extracted in full from: Federal Budget 2022: When the impact of fuel excise tax cuts flows to Australian drivers as cheaper gasoline – Sydney News Today

Federal Budget 2022: When the impact of fuel excise tax cuts flows to Australian drivers as cheaper gasoline

By Sourced Externally

March 30, 2022

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Federal Budget 2022: When the impact of fuel excise tax cuts flows to Australian drivers as cheaper gasoline

By Sourced Externally

March 30, 2022

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