Tue. Nov 5th, 2024
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Fuel prices have hit an all-time high in Perth and are soaring across the nation, and there’s no indication they’ll being going down anytime soon.

With everyday life expenses rising across the board, residents in Perth — traditionally a car-centric city that stretches almost 160 kilometres from north to south — are having to make tough decisions.

Software engineer Shouvojit Sarker is new to Perth’s roads. In fact, he just bought a new car.

But with fuel sitting above $2 a litre, he’s barely been behind the wheel.

Multiple cars line up at a petrol station to pump fuel. A man in a red shirt is attending to a white car. It is overcast.
Fuel prices are skyrocketing, leading some to cut back on their car use.(ABC News: Zathia Bazeer)

“I was looking forward to driving everywhere to save time, [but] I have found myself actually cutting back,” he said.

Mr Sarker’s work is a 15-minute drive from his home in the southern Perth suburb of Cannington, but the journey takes more than an hour on buses and trains.

He’s now relying more on the city’s public transport system, and rideshare services, but said it would be a “nightmare” and “impractical” for those living in the outer suburbs doing day-to-day errands like groceries or school pick-ups.

A tanned man wearing a black polo shirt looks at a train as it approaches a platform.

Mr Sarker’s trip to work via public transport is at least four times the duration it takes by car.(ABC News: Zathia Bazeer)

“You’ve got two or three connecting buses, trains … how are you going to manage moving from one transport to another?” Mr Sarkar said.

“And wait times for transport are also high.

“You’re saving money, but it costs your time, which you could give to a second job.”

Cost of living pressures bite

Mr Sarker’s local train line in Cannington is also about to shut for 18 months for upgrades.

“It would definitely mean a longer journey … it’s not going to be nice, it will take the convenience away,” he said.

He said his friends, family and work colleagues were also feeling the impact of a higher cost of living.

A TransPerth train approaches.

The state government is shutting down a stretch of the Armadale line for major upgrades from November.(ABC News: Zathia Bazeer)

Together, they’ve resorted to carpooling as much as possible.

“As a home owner, I’m kind of on the same boat. My monthly expenses have gone up, so I really can’t afford to use my car as much,” he said.

Mr Sarker said he was interested in electric cars, but considered them too expensive.

Fewer road trips

Andie Noon, who lives in Shelley in Perth’s suburban south, has also felt the pinch and it’s impacting her daily routine.

For her, it meant fewer holiday road trips, actively looking for cheaper fuel and staying close by when dropping her kids off to avoid extra trips.

A tanned woman smiles at the camera, with nature and kangaroo paws behind her.

Ms Noon’s family will be spending less time on the road.(ABC News: Zathia Bazeer)

“Going to the beach in the summer [is something] we really enjoy as a family,” she said.

“But with the rising petrol costs, instead of going four times a week during summertime, we’ll probably go once or twice.

“I guess that sort of does affect your level of enjoyment.”

Why is fuel so high?

The short answer is there is little control at a local level.

The cost of refuelling reached an all-time high in Perth on September 20, sitting at 223.5c per litre.

FuelWatch coordinator Kyle Huynh said petrol prices were relatively stable in the first half of the year but increased in July.

“Local petrol prices in Australia do tend to follow the Singapore price of petrol [which] has stayed elevated, so there’s an expectation that local prices will stay high for at least the short term,” Mr Huynh said.

The current price hikes were due to high international benchmark prices linked to crude oil prices, which have increased on the back of record high world oil demand and low oil supplies, according to Mr Huynh.

“Refiners struggled to keep up with demand growth … we found that many refineries were forced to run at reduced rates, and this was due to unplanned outages and the very high temperatures,” he said.

‘We just have to get off it’

Liam Wagner, an associate professor from Perth’s Curtin University, believes the global oil demand will continue, impacting local fuel prices.

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