Tuesday, June 3, 2008

Petrol Prices

Okay I need to have a quick vent.

The price of fuel is something that no Australian government (of whatever flavor) can do anything about. Dropping the excise means a reduction income and a similar drop in services (say off hospitals or school), and at the present rate of worldwide price increases, will be gobbled up in a week anyway.

Fuel prices are subject to supply and demand on a world scale, overlayed with the real availability of the product, as well as that determined by the cartel that determines how many barrels a day are made available to the market. I personally also blame the war in Iraq but let's stick to the point.

I hate paying $1.50 a litre for fuel (more for diesel I know) and it is blowing my fortnightly budget to do so but we have some of the lowest OECD fuel process available in the world. Europe has been over $2 for the last 5+ years. The US is so heavily subsidized (at the cost of tax payers of course) that it isn't a real price - but it is still fast coming up to Australian levels.

The world is a-changing and this is here for the long term. And I am not even starting on the debates that it should be 50% higher still to reduce to offset the damage done to global warming. Fuel prices are high, and will only ever really get higher - that's the truth. I am tired of it being on the news every hour. Move on folks - and welcome to the 21st century. Sigh ...

12 comments:

Alison said...

Hooray! Some sanity, at last!
Petrol prices are petrol prices. We can't do anything about it so let's move on already.
I agree, welcome to the 21st century.

Unknown said...

Yah, I am not alone! I know it bites but that is that sadly :-)

Anonymous said...

How does that translate to US dollars. I am just curious, because today I had to pay $4.35 a gallon for gas and it nearly caused me to have a stroke. I can only hope that doesn't happen to everyone.

Barb said...

The thing is that we all still HAVE to buy it no matter what the price. I know gas is higher in places outside the USA and I just don't know how people can continue to buy it without seriously hurting their budgets. But we will. We have to.

Unknown said...

Vixen we are about $6 a gallon.

Very true Skittles - I for one commute 35 km to work each way - and my friends are scattered even further afield. My fuel budget has gone by 40% each fortnight just to get to work and back - and not including any social travel at all.

Most people I know are in the same or worse situation and are feeling the financial pain a lot more than I am.

My complaint is that we are presently whinging to the government to fix the problem (don't know if US consumers are doing the same) when it isn't a problem they can fix. Even if subsidies were put in place, as taxpayers we are still paying for it - or losing services.

The biggest users of petroleum products at the moment are the US, China and India - and until those countries specifically stop the growing need (which isn't going to happen because their economies are based on growth of industry) - or unless we can find significant new sources (equal to those we are already aware of) that are cheap to harvest, prices aren't going anywhere but up.

Welshcakes Limoncello said...

I agree and about the war in Iraq too.

Susan Demeter said...

It is the same here in Canada, and like you say it is the way of the 21st century.

pita-woman said...

The new things that gets me is the proposal that many companies/offices/schools are going to a 4-day work-week to conserve fuel. Now maybe for some things, for instance, schools not having to run buses on that 5th day, they'll be saving some fuel, but I seriously doubt this is going to save most people any fuel. I mean seriously, how many of us would just sit home and not go anywhere on that extra day off? Very few of us! If anything, most will be out shopping, going to the park, running errands, etc., and probably use more fuel than before!

LA Nickers said...

aaaargh!

That's how I feel about the gas prices . . . (see below). ;-)

Blessings,
Linda

JACK ‘EM UP

Chelsea + Shiloh said...

I think it hits Australians as we do drive vast distances in our day to day compared to Europe. I know that a fair wack (I would agree with 40%) is spent travelling to and from work....as i work in an industry that is incredibly underpaid this im starting to resent this big time.

I no longer drive for pleasure, and each trip is calculated ie can i walk the distance etc... Though not looking to govts to fund fuel I do expect them to provide adequate public transports. We have major towns near me who have none...

Unknown said...

I too carefully budget any 'social' driving Abz. I also try to have at least one day a week (aiming for two) where the car doesn't move at all. Fortunately I live in a great little town and can walk to the shops each day for my groceries and bits.

Actually, I don't think I have ever lived anywhere where there has been really good public transport. Is there anywhere in the world where a decent service is offered (serious question)? Maybe Zurich ...

Robert said...

Know and have been feeling the "petrol price" pinch for some time now.Basically I go to work and home 5 days a week, + a 20 mile trip to get the mail once a week, and extra every second weekend with the kids - costed it out last week and came up with having to work 3 1/2 - 4 hrs a week just to buy the fuel to get to the saltmine, and the rest of a days work for the little other driving i do .Am still very unimpressed with having to pay over the top for diesel, which is the cheapest fuel to produce at the refinery, but all the heavy transport uses it so its an easy way for the petro biggies to make mega bucks