Bundy fuel price to stay
BUNDABERG unleaded fuel prices have increased by about six cents per litre since Christmas and experts are not expecting a drop any time soon.
Wessel Petroleum general manager Paul Wessel said he expected prices to remain at about 128.9 cents per litre for quite a few months.
“It is a hard thing to judge because there are so many factors which can influence the prices,” Mr Wessel said.
“In the meantime, our costs are always going up and up and we absorb a lot of the increases when prices do go up. From what I can tell, the price shouldn’t move too much over the next three or four months unless something big happens.”
Mr Wessel said the fuel market was all based on supply and demand and the European and American winters were adding to the demand.
“They need the by-products of gasoline for heating over there,” he said.
“Unless they have a particularly long and cold winter, we shouldn’t be too badly affected.”
Mr Wessel said people needed to understand that service stations and consumers were in the same boat.
“High prices are not good for the industry and they aren’t good for the consumer,” he said.
“If people are pushed out of the market there will not be enough competition to keep pricing fair.”
The amount of major oil companies in Australia is already on the decline, with Mobil being phased out over the next two years.
Mr Wessel himself recently switched his eight Wide Bay region Mobil service stations to BP outlets.
RACQ spokesman Jim Kershaw said compared to other regional towns, Bundaberg was not sitting too badly in terms of fuel prices.
“When compared with places like Gladstone and Rockhampton, Bundaberg is doing pretty well,” he said.
Mr Kershaw said on Tuesday, the daily regional average for Gladstone was 129.5, 130.0 at Rockhampton and 128.9 in Bundaberg.
“It’s a shame prices have had to go up,” he said.
“We are all hurting at the bowser and Bundaberg is certainly no exception.”
Mr Kershaw said the one bright side was that the Australian dollar was stronger, which helped stabilise the price.
Mr Wessel said he was always receiving complaints from residents about price increases.
“I’d love to see it under $1 just like everyone else, but it’s just not possible,” he said.
With E10 fuel beginning to phase out ULP, prices are expected to further increase over time.
“We are all hurting at the bowser and Bundaberg is certainly no exception.” RACQ spokesman Jim Kershaw