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Australia's consumption of imported fuel

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Whatís going on with the price of diesel fuel, as compared with ulp etc.
Diesel used to be 10% cheaper than petrol, now itís 20% dearer.
Manufactures now produce very exiting and fuel efficient, small and large vehicles that consume by volume 30 to 40% less fuel.
Iím told that itís cleaner, or will be soon in Aust, and better for the environment.
We have had many inquiryís into price gouging by fuel suppliers etc, but no mention of diesel prices.
Could it be that the Aust Government has become to used to collecting taxes, based on the volume of fuel consumed.

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  1. Gundini's Avatar
    Have a look here Juiceman, prehaps the Diesel subsidy rules changing in 2006 may have contributed. As more vehicles became eligible for the 8% subsidy, and, the Subsidy is paid directly to fuel retailers (including your local petrol stations), and, the Subsidy is also paid to people who purchase fuel in bulk from distributors at the unsubsidised rate, I suspect the only way the distributors can ensure growth, and maintain margins would be to keep bulk prices high, and allow the growth of the number of vehicles in this catorgory to blossom to increase margins. Also, the natural attrition of petrol vehicles, along with the explosive growth of diesel 4WD vehicles, and the mining boom, may also be a factor. Using your figures, bump up prices by 30%, then give them back 8%, seems good business to me if you are at the right end of the fuel chain.



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