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Bad News for Motorists

Bad News for Motorists

According to ABC Online Lateline, Industry Minister Ian Macfarlane says motorists may face a 2c rise on petrol prices to help the government meet the "extraordinarily expensive" international standards on oil reserve capacity. [1]

Mr Macfarlane said the cost of complying would be "billions and billions and billions of dollars" and questioned whether Australia should remain committed to the IEA target. [2]According to the website, Australia's reserves have fallen to just 52 days' worth of exports, short of the International Energy Agency's (IEA) recommended 90 days (three months),following a wave of refinery closures and leaving Australia as the only member among 29 developed economies short of the standard.

"The impact on the cost of fuel at the bowser will be significant," he said, according to the website. 

View more on Lateline here: Government reveals plan to slug motorists with fuel tax

 

[1] The Australian, John Conroy, ‘2c petrol reserve cost on the cards’, http://www.theaustralian.com.au/business/latest/c-petrol-reserve-cost-on-the-cards/story-e6frg90f-1227302640346

[2] ABC online, ‘Government reveals plan to slug motorists with fuel tax’, http://www.abc.net.au/lateline/content/2015/s4212936.htm

 
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Robert
Robert from NSW commented:

McFarlane, unfortunately has absolutely no idea but strangely enough he is the government spokeperson. Yet, he has done absolutely nothing with the price parity of petrol - the massive hikes at the petrol stations - mind you, "not a word to the petrol companies" but yes! hit the tax payer, the individual who drives to work and or is involved in some activity. Cut Mcfarlanes benefits totally and let him survive as most tax payers do with no sympathy or care. That is the issue. I wonder if the public will stand for this tax grab. Whose fault is it when the reserves have fallen to just 52 days of export? not the public's but this incompetent member of parliament. I am disgusted with this minister. 

John
John from NSW commented:

What a Government - More TAX - Pensioners HIT again - Who do we BLAME 

Morrison
Morrison from NSW commented:

It seems that successive Federal and State Governments in Australia only know 1 trick, that is taxing the tax payers to the hill, anytime, due to their incompetance in managing the national finance, firstly, blame the previous government and then the opposition, then increases the taxes, when they ran out of excuses, then, introduce a new levy (they would say levy is not tax!!!) I don't know what they are if it's not another form of tax. Our politician do not have any innovative policies to encourage people to work harder, to assist our industries and companies to be more efficient due to massive government red tapes. We have been spending billions after billions of our public money in participating unnecessary wars and conflicts. Just look at hoe well our neighbour New Zealand is doing, it's government will be having a surplus!!! Our Aussie Battlers (AUD) is approaching parity with The Kiwis!!!! 

Morrison
Morrison from NSW commented:

Just another example of political short-sightedness. How could Australia safe guard our national security, allowing the closeure of our refineries and solely rely upon the oil shipment from Singapore? Australia is a big continent far away in the South Pacific, we have plenty of crude oil and LNG, all successive Federal Governments from both sides of politics, have absolutely no foresight to allow the current situation of our oil totally dependent supply from Singapore. The Federal Government and politicians from all sides should take immediate action to remedy the current situation, if necessary, nationalize the oil refinery and oil industry, ensure oil refinery remains in Australian hands, in order to maintain and control our national interest. One could imagine if we have no oil supply arriving from Singapore, what are rhe consequences Australia will face up to???? If required, make it mandatory that oil producer and oil company must have refining capacity in Australia. I am sure, no way United States will allow this sort of nonsense and stupidity happening to our lifeline (the oil supply). 

margaret
margaret from NSW commented:

Give us a break. They can take the 2 cents out of all the money they are ripping out of petrol at this point. I do not have a car, however I would like someone who has the figures on petrol costs and profits to give an approximate breakup on profit per litre, or per $100 retail. This would give us some idea as to how much, refineries ,transporters retailers and others,THE ONES THAT ACTUALLY DO THE WORK. required for us to be able to put petrol in our cars get, and how much our government takes. That may not only be a surprise but could make anyone who runs or knows some thing about business, quite angry. By the way which of the money grabbers can we blame for allowing this situation to develop? 

James
James from NSW commented:

Rubbish, What crisis can you solve in 90 days but cannot solve in 52 day?. The oil companies must manage their stock as an ongoing part of running their business like any other company. As if the oil companies are battling. They reap the profit of shutting down the refineries but want to pass the additional cost of oil stock to the public. This additional cost should be offset against the benefit of shutting down the refineries. This is another instance of government looking out for the big end of town at the expense of consumers Makes me ponder about the concept of nationalisation of key industries because big business cannot stop themselves from greed. 

Someone
Someone from NSW replied to James:

Your problem there is Govt, not the big companies. If Govt got out of the way and anyone could extract/refine/supply petrol then the price would drop and the profits match those of any other industry. It is only Govt coercion that allows favoured businesses, large profits and monopolies. We could have as many oil businesses as dentists if the Govts around the world weren't being bribed by the Big 4. This all happens because the oil companies make a very easy tax collection agency for the Govts. Block taxation on fuel and Govts would lose interest. 

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