Geelong refiner Viva Energy warns on lockdown hit to petrol sales

The latest lockdowns in Victoria are set to hit Australia’s toll roads, fuel retailers and wholesalers despite petrol stations remaining open.

According to the ACCC, the earlier rounds of lockdowns in April saw national sales volumes for petrol fall 43 per cent.

The latest lockdowns in Victoria are set to hit Australia’s toll roads, fuel retailers and wholesalers despite petrol stations remaining open.

Viva Energy, owner and operator of the Geelong refinery, on Monday warned that its Victorian petrol sales for July were 25 per below 2019 levels.

The fuel wholesaler and retailer noted that sales across the nation were 11 per cent below July 2019 figures.

According to the ACCC, the earlier rounds of lockdowns in April saw national sales volumes fall 43 per cent.

 

Monday’s announcement comes on the back of stage four restrictions announced by the Victorian government that would restrict most residents to within 5km of their home.

“The company is closely monitoring the situation and assessing any further potential impacts on Victorian fuel sales and refining production as a result of these additional restrictions,” Viva Energy said.

Production at the Geelong refinery had already been wound back, with Viva shutting one unit in May.

Victoria represented about a quarter of Viva’s national petrol and diesel sales volumes, both retail and wholesale, last year.

The expected hit to retail fuel sales comes on top of already weak aviation sales.

But despite the dark omens, Viva closed up 4.96 per cent.

Ampol, which supplies a chain of petrol stations across Victoria, shrugged off the impact of increased restrictions to close up 4.7 per cent.

The ASX-listed fuel supplier temporarily shut its Brisbane refinery earlier in the year, bringing forward maintenance work.

Transport-exposed businesses are likely to be hit hard, but Transurban managed to fend off doomsayers to close up 0.8 per cent after initially sliding at the market’s open.