Why petrol prices have never been higher

It’s never been more expensive to fill up your car, the NRMA says, as petrol prices reach historic highs due to a perfect storm of unfortunate circumstances.

“Everything that could go wrong is going wrong,” NRMA spokesman Peter Khoury said.

The Omicron impact, rebel raids against Middle Eastern refineries, tensions between Russia and Ukraine, and an artificial downward pressure on oil supply have all contributed to driving petrol prices to record levels.

The average price of regular unleaded fuel in Sydney topped $1.80 per litre last week, the second time in history the price has been that high.

The first time the average Sydney litre price hit $1.80 was on December 6 last year.

The current average in the city was at 178.2 cents per litre and falling as of Tuesday afternoon.

Other capital cities were hit by expensive fuel prices as well.

The average price per litre in Melbourne was $1.635, in Adelaide $1.68, in Perth $1.56, and in Brisbane $1.897.

All those prices were falling slowly.

Elsewhere, prices were stable, with an average cost per litre of $1.709 in Canberra, $1.804 in Hobart and $1.717 in Darwin.

Mr Khoury said it didn’t make any sense for motorists to hold off on buying petrol because the prices were falling too slowly.

“The more important message is, do your research before filling up,” he said.

The NRMA cautioned prices could vary quite wildly and urged drivers to look for a good deal before filling up.

In Sydney, 40 per cent of petrol stations sold petrol for more than $1.80 per litre but some others sold it for less than $1.65 per litre, the motorists’ organisation said.

Mr Khoury said the multinational oil cartel Organisation of the Petroleum Exporting Countries was releasing less oil, pushing up prices.

He also said Australian petrol stations were reaping a large profit margin, which contributed to raising the cost for consumers.