Petrol forecast to reach up to $2.15 a litre with return of excise tax
Petrol prices could hit $2.15 a litre in coming weeks as capital cities return to the top of their fuel cycles and the return of an excise tax kicks in, AAP reports.
Australia’s east coast cities are approaching the bottom of their fuel cycles, which means petrol prices are about to hit a floor before heading back up again.
The average retail price slid 0.7 cents last week, according to Australian Institute of Petroleum data.
The national weekly average across the major capital cities fell by 2.9c, to 183.2c a litre.
But wholesale prices have ticked upward to $1.70 a litre, up more than 13c from the week before.
Oil prices lifted sharply last week after petrol exporting countries decided to cut production in a bid to keep oil prices high as higher interest rates continue to cool demand.
CommSec economist Craig James said the end of fuel cycles and the return of the fuel excise tax – which shaved around 22c a litre at the pump – could see petrol reach $2.15 a litre in coming weeks.
But the ready reckoner is that a ‘fair’ price for fuel is around $1.90 – with the wholesale price near $1.71 a litre and the gross retail margin for retailers near 15-20 cents a litre.
James also said higher fuel prices would flow through to higher inflation, which would keep pressure on the central bank to keep hiking rates.
Key events
Filters BETA
Daniel Hurst
A push to reform the Australian government’s war powers has been dealt a blow, with the deputy prime minister telling an inquiry he is “firmly” against giving parliament the power to veto deployments.
A trial has been listed for a group suing the Victorian government over its controversial decision to lock down nine public housing towers, AAP reports
More than 3000 residents were forced to stay inside the North Melbourne and Flemington buildings in July 2020.
The immediate Covid-19 lockdown was announced at a 4pm press conference on July 4, with many of the residents unaware of the order until police arrived outside.
The group are suing the State of Victoria for compensation in the Victorian Supreme Court, claiming the state government subjected them to 14 days of false imprisonment.
The plaintiffs also claim they had inadequate access to food, medicine, information and assistance.
The parties held a case management hearing before Supreme Court Justice John Dixon on Monday.
The case has been listed for an estimated 20-day trial in September next year.
About 30 witnesses expected to be called to give evidence.
A further case management hearing will take place at the Victorian Supreme Court in January.
Petrol forecast to reach up to $2.15 a litre with return of excise tax
Petrol prices could hit $2.15 a litre in coming weeks as capital cities return to the top of their fuel cycles and the return of an excise tax kicks in, AAP reports.
Australia’s east coast cities are approaching the bottom of their fuel cycles, which means petrol prices are about to hit a floor before heading back up again.
The average retail price slid 0.7 cents last week, according to Australian Institute of Petroleum data.
The national weekly average across the major capital cities fell by 2.9c, to 183.2c a litre.
But wholesale prices have ticked upward to $1.70 a litre, up more than 13c from the week before.
Oil prices lifted sharply last week after petrol exporting countries decided to cut production in a bid to keep oil prices high as higher interest rates continue to cool demand.
CommSec economist Craig James said the end of fuel cycles and the return of the fuel excise tax – which shaved around 22c a litre at the pump – could see petrol reach $2.15 a litre in coming weeks.
But the ready reckoner is that a ‘fair’ price for fuel is around $1.90 – with the wholesale price near $1.71 a litre and the gross retail margin for retailers near 15-20 cents a litre.
James also said higher fuel prices would flow through to higher inflation, which would keep pressure on the central bank to keep hiking rates.
A statement from the foreign minister, Penny Wong, on the violence in Iran.
Australia condemns the ongoing heavy-handed repression of protests by Iranian authorities.
Particularly disturbing are reports of attacks on children, and the arrests of students on school premises.
— Senator Penny Wong (@SenatorWong) October 10, 2022
Any form of violence is unacceptable, especially against children.
We continue to support the people of Iran and their right to freedom of expression and equality for women and girls.
— Senator Penny Wong (@SenatorWong) October 10, 2022
Dutton says Labor has walked away from promise on energy bills
Dutton says energy is the “biggest issue of our time” and families will be struggling to pay their bills. He says the PM has not discussed the promise before the election of reducing electricity prices by $275, and it has now been walked away from.
He’s again very defensive about claims the former Coalition government mishandled defence contracting, saying that the defence minister, Richard Marles, held a “dodgy” press conference this morning to distract from the government’s “disastrous week last week on stage three tax cuts”.
He says Marles’s comments are “laughable” and don’t hold up to scrutiny. He says that when in government, the Coalition was playing “catch-up” due to the former Labor government’s underspending.
Dutton blames Labor for defence cost blowout
The opposition leader, Peter Dutton, is holding a press conference in Bundaberg, Queensland.
He is responding to the deputy prime minister, Richard Marles, revealing earlier today that 28 defence projects were running at an accumulated total of 97 years overtime under the Coalition – to a shortfall of $6.5bn.
Dutton pushes the blame back on Labor, saying it should have ordered more jets and submarines when it was last in government (so pre-2013). He claims the announcement is a “comical distraction” from the debate last week over whether to keep the stage three tax cuts.
He said:
It just doesn’t make any sense in terms of his own argument and I’d tell you, when you do hear Labor talking about quality spending within defence, read cuts to defence – and they are trying to push to the right these project costs before the forward statements …
That is a tricky move by Jim Chalmers, who only got his doctorate from studying Paul Keating and was the chief of staff to Wayne Swan. So if you think he is off to a bad start in life, you are right. And if you are relying on him to make economic decisions in the best interests of our country, you will be hoping for a long time.
Australian among victims of Irish petrol station blast
Cait Kelly
An Australian father is among the 10 people killed during a blast at a petrol station in Donegal county, Ireland.
James O’Flaherty, 48, originally from Sydney, was killed in the blast that happened at the service station in Creeslough, a small village in north-west Ireland on Friday.
A death notice for O’Flaherty said he was survived by his wife, Tracey, and son, Hamish. A funeral will be held in St Mary’s Church in Derrybeg on Wednesday.
A spokesperson for the Department of Foreign Affairs and Trade said it was working with local authorities.
The spokesperson said:
The Department of Foreign Affairs and Trade is aware of reports an Australian has been killed in an explosion at a petrol station in the Irish county of Donegal.
We are working with local authorities and stand ready to provide assistance. Owing to our privacy obligations we are unable to provide further details.
The cause of the explosion is under investigation.
Apple agrees to more talks over staff pay and conditions
Tech giant Apple has agreed to two more meetings with unions and retail staff over a proposed enterprise bargaining agreement, and will give the unions 72 hours notice before opening up the EBA to be voted on by staff.
The negotiations between the unions and Apple were due to end on Friday, but the company has agreed to hold two more meetings on Tuesday and Thursday this week, and won’t open voting on the agreement to staff until at least Monday next week, the Australian Services Union and SDA told Guardian Australia.
You can read our earlier report on the state of the negotiations here:
With that, I will pass you into the thrillingly capable hands of Josh Taylor.
I just typed “enjoy your weekends” before realising it’s Monday afternoon, so have a good one regardless. He’ll be with you for the rest of the evening.
Stranded yacht with two men aboard rescued off NSW north coast
New South Wales water police have rescued a stranded yacht after a 15-hour operation under “severe conditions” off the NSW north coast.
About 12pm yesterday, emergency services were called to reports a Queensland yacht was in trouble about 50 nautical miles off the coast near Kingscliff.
Officers attached to Tweed Heads water police located the yacht, which had a shredded mainsail and no engine power, with two men – aged 56 and 61 – onboard.
About three hours later, police began towing the yacht under extreme conditions, which led to the tow line breaking multiple times.
Due to safety concerns, police couldn’t pass through the Tweed Bar and instead towed the yacht toward Southport in Queensland, where they eventually arrived about 6.30 this morning.
One of the police officers was taken to Tweed Heads Hospital in a stable condition suffering dehydration, exhaustion and a back injury sustained during the rescue. The two yachtsmen were uninjured.
Euabalong in western New South Wales is experiencing major flooding.
In Greater Newcastle, Fire and Rescue NSW is attempting to contain a fire at a home in Lake Macquarie.
RATHMINES (Lake Macquarie) | #FRNSW working to contain a fire is a home on Somersham Ave. Arriving FFs report house well alight with an acetylene gas cylinder venting (this is not good) the cylinder could explode. FFs working from covered positions. @nswpolice @lakemac
— Fire and Rescue NSW (@FRNSW) October 10, 2022
Australian vacancy rates fall to record low after ‘unprecedented’ rent rises
National vacancy rates have hit a record low as affordability starts to impact rent hikes, CoreLogic’s quarterly rental review – released today – has found.
It shows the national rental index had its smallest monthly increase this year, up 0.6% in the month to September and 2.3% over the September quarter, a 60 basis point decrease on the three months to June (2.9%).
The quarterly trend in national rental values is now 70 basis points below the recent peak rate recorded in May (3.0%).
CoreLogic research analyst and report author Kaytlin Ezzy said there had been “unprecedented” growth in rental values in the past few years.
We saw rents fall marginally over the first few months of Covid, but since August 2020 national dwelling rents have surged almost 20%, equivalent to a weekly rent rise of approximately $90 per week.
Initially driven by a reduction in the average household size, the continued upswing in values is likely now predominantly being driven by the strong return of overseas migration, coupled with extremely tight rental supply.
Ezzy said the easing in rental growth was a little surprising, particularly given such low vacancy rates.
The slow down in the rate of rental growth may suggest an increasing number of prospective tenants are starting to come up against affordability constraints.
As high non-discretionary inflation, along with increasing rents, put additional stress on a renter’s balance sheet, it is likely a growing number of tenants look to reform larger households or find more affordable rental options in an attempt to reduce costs.
