Hunter fuel prices jump 22 cents, and could rise another 40 cents
Diesel in Hunter hit $2.90 this week; experts warn it could climb another 40 cents if Middle East tensions deplete global reserves.
Diesel in the Hunter region approached $3 per litre over the weekend, with prices rising more than 22 cents in a single week. The conflict in the Middle East, including a drone attack on Saudi Arabia's east-west oil pipeline, has restricted fuel supplies globally.
Commodities experts at the Commonwealth Bank warn that global oil inventories could deplete within five to ten weeks, potentially pushing oil prices to as much as US$150 a barrel. If that happens, fuel costs in Australia could rise another 40 cents a litre, AMP chief economist Shane Oliver said.
Prices across Newcastle varied by as much as 65 cents, with regular unleaded ranging from $2.20 to $2.70, and diesel from $2.69 to $2.90. The federal government ruled out further fuel excise cuts, saying it would provide only temporary relief.
- 22 cents
- Weekly price rise
- $2.90 per litre in Hunter
- Diesel price reached
- 65 cents variation across suburbs
- Newcastle price spread
- US$150 a barrel if inventories deplete
- Potential oil price
Why it mattersWith costs already at near-record highs and risks of further spikes, household and business budgets face mounting pressure.
AustraliaHunter drivers and businesses face fuel costs at their highest since the government ended excise cuts in June, with potential for steeper rises ahead.
✓ Claims checked against the source. checked 5 d ago
