-
generic shot of man pumping petrol - Source: Close Up
Petrol prices have reached an all-time high, with major petrol outlets following Z Energy's lead and upping prices.
On Tuesday, Z Energy lifted its prices by three cents a litre, bringing the price of 91 to just under $2.23 a litre.
Yesterday all other petrol outlets, except for Gull, followed suit.
BP is charging $2.29 a litre for 91, and Caltex at $2.23.
Gull, undercutting its bigger competitors, is charging $2.14.
BP's Jonty Mills said the fuel company pushed up its price yesterday after reviewing it in the morning.
"Prices at most BP owned petrol stations are now 222.9 (91 Petrol), 230.9 (95 petrol) and 157.9 (Ultimate Diesel)," he said.
"We held off any price increase in the hope that new overnight data out of Singapore would be more favourable, however that wasn't to be the case and we feel an increase of 3cpl is necessary."
He said the company held off raising the prices for as long as it could.
"We seem to be operating in a period of extreme highs and lows - of course it was only a couple of months ago that we were celebrating the fact that petrol was under $2 for the first time in nearly a year. Tensions in the Middle East and a stronger outlook in the US are the main contributors currently," he said.
According to AA's PetrolWatch, prices at the pump are now one cent above the last record, struck in May 2011.
"Despite our high exchange rate, which has fallen slightly, commodity prices continue to rise due to tighter global supply and rising Middle East tensions," said PetrolWatch in a statement.
"Since 25 June, when petrol prices fell to $1.97/litre, oil prices have risen 29%, and refined petrol and diesel commodity prices are up 24% and 20% respectively."
Over that period, imported petrol costs have risen 22 cents per litre.
AA thinks there was still scope for fuel companies to absorb
further cost increases.