SA petrol prices exceed 220c/L – highest in 14 years

The price of petrol in Adelaide has hit new record highs, with only three stores offering prices under $2/L. But it could be worse – see the eye-watering prices some countries are paying.

Petrol prices have soared above 220c/L at most metropolitan Adelaide outlets, as Russian tensions escalate following a US ban on Russian oil.

About three outlets had prices advertised at 220c/L on Wednesday morning, but on Thursday morning, only three stores in Welland, Gepps Cross and Pooraka had prices below $2/L.

The price hike comes a day after US President Joe Biden banned imports of Russian oil in a bid to de-escalate the country’s invasion on Ukraine by hitting one of its biggest economies.

Coles express petrol station at Mansfield Park is showing unleaded petrol for 221.9c/L. Picture Dean Martin

RAA spokesman Mark Borlace said the Adelaide prices were the highest since they started being recorded 14 years ago.

He said wholesale petrol prices on Thursday were 192c/L – rising 14 cents in just four days.

“Normally it goes up a cent a day,” Mr Borlace said.

He said people would stop using their cars if petrol prices spiked above 220c/L, which was likely in coming weeks.

“You’ll see people start to maybe use public transport now, because its too expensive to use your car, it will be a little bit of an interesting period while we watch what happens.”

Mr Borlace said supply would not be an issue as most fuel in Australia comes from Singapore.

“But the prices are all kind of linked together in the world price, so we will see that pricing pressure follow through to us as a result of what's going on over there.”

Mr Borlace said the wholesale price has potential to go higher than $2, which could see bigger petrol price spikes in Adelaide in the future.

“There’s a chance the base price might go over $2 … so there’s a chance we will start to see prices up at 230c/L or 240c/L during spikes,” he said.

Diesel prices were also soaring on Thursday morning at about 210c/L across metropolitan Adelaide.

But the prices in Adelaide are not as high as those experienced by many other countries.

In Hong Kong, petrol is now 387c/L, while it is over 300c/L in Scandinavian countries.

Colin Shearing, the former SA independent retailers Association chief executive officer and current small business candidate for the Legislative Council, said the petrol prices would have a huge affect on small business.

“It’s an extra hidden cost we don’t think of with transporting products, goods and services,” Mr Shearing said.

“It’s going to have a massive impact on cost of food … and wages aren’t keeping up with these spiking increases.”