Motorists in Far North Queensland are paying record prices at the bowser for unleaded fuel as the war in Iran continues to drive up costs.
Petrol stations in Cairns are charging up to 244.9c per litre for unleaded, with the weekly average higher than the previous peak in late March when the federal government intervened with a 32c per litre subsidy.
Diesel fuel prices in Cairns are also approaching near record levels, with motorists forced to pay up to 291.9c per litre currently.
And prices show no signs of going down in the immediate future as the federal government has ruled out reintroducing fuel subsidies to help households facing significant cost of living pressures while the war in Iran continues.
Regional Development Australia met with 30 representatives from across tourism, aviation, freight and logistics, agriculture, small business, local government, health and community services, remote retail and food security, First Nations service delivery, infrastructure and government last week for an FNQ fuel impacts roundtable.
Strategic fuel storage and distribution, remote energy resilience and support for highly exposed sectors and communities are among the recommendations of the FNQ Fuel Impacts Roundtable delivered this week ahead of the next Roundtable in October.
Regional Development Australia Tropical North Board Chair Professor Hurriyet Babacan said an important function of RDA Tropical North is to pull together the region’s various sectors to inform the federal government of how best to meet Far North Queensland and northern Australia’s needs.
“The impact of fuel supply fears has been similar to the impacts of natural disasters and once again serves to highlight the vulnerability of regional and remote areas facing the cumulative impact of consecutive disasters, increased cost of living and housing pressures,” Professor Babacan said.
“The FNQ Fuel Impacts Roundtable confirmed that physical fuel supply was largely maintained in the early months of the Middle East crisis. However, it did not prevent significant economic and service impacts across the region.
“These impacts could escalate with the region remaining vulnerable to future fuel price and supply shocks as the conflict continues.
“Several key impacts were identified including significant reduction in tourism demand and visitor expenditure, unharvested produce where costs exceeded expected returns, and delayed recruitment across small business.
“Local government resources were redirected from maintenance and capital works, there were disproportionate impacts on remote and First Nations communities, and uncertainty around essential service priorities.
“Higher fuel and freight costs, price volatility and uncertainty are compounded by Far North Queensland’s distance from major markets, reliance on road, air and marine freight, limited transport alternatives and diesel dependence in many remote communities.
“To strengthen our region’s resilience, governments need to consider not just physical supply, but also affordability, confidence, service continuity, preparedness and longer-term energy resilience.
Next month’s roundtable will be looking at the impact of much higher fuel prices following the excise returning in full in August.
The public is invited to have their say via the RDA Tropical North feedback portal on www.rdatropicalnorth.org.au.
Extracted in full from: https://www.cairnspost.com.au/news/cairns/cairns-fuel-prices-hit-record-highs-as-federal-government-rules-out-new-subsidies/news-story/a1e975f5efc7dad246bdd15e0d738f82
