Diesel prices in Echuca are among the highest in the state at present.By Trent Horneman
Echuca motorists are paying among the highest prices for diesel in the state.
Diesel users were paying about $1.60 a litre for diesel yesterday, with the state’s highest being 163.9 cents a litre in Leongatha.
RACV’s Michael Case said there was no explanation for the price rise.
Mr Case said global conflict, exchange rates and local competition could all have an impact on the bowser price of diesel and unleaded petrol.
Throughout the state, prices fluctuated from 154.9 cents to 163.9 cents.
Despite a weakening Australian dollar, Mr Case said petrol prices differed from region to region.
‘‘That could be more a case of local competition, rather than other external factors,’’ he said.
‘‘Given the unpredictable nature of petrol pricing, it would be impossible for us to forecast what will happen to petrol prices into the future.’’
Mr Case said the ‘‘terminal price’’ of fuel took into account many factors.
‘‘There is no one sole reason which dictates the price of fuel. So while there could be a drop in the exchange rate, rising tensions in the Middle East could counteract that,’’ he said.
‘‘While the metropolitan service stations fluctuate their price on a cycle, regional stations are a lot more steady in their pricing. So a drop in terminal price could take a while to filter through to the bowser, the same as if there was a sharp price rise then regional stations are likely to absorb the rise longer to keep prices steady.’’
Mr Case said drivers could take advantage of cheaper prices at major regional centres.
The rising price of diesel fuel is a concern for the region’s farmers, who will soon start harvesting winter crops.
Member for Rodney Paul Weller said while there was a rebate available for farmers buying off-road diesel fuel, the rising price was still an issue.
‘‘The government offers a 38 cents a litre rebate for farmers, but at this price it is still $1.20 a litre for diesel,’’ he said.
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