Surveys. Apparently in Victoria are being forced to publicly report their fuel prices a day before they come into effect. Motors will then be able to lock them in for twenty four hours under a cost of living shakeup announced by the state government. Good idea or not? Sounds interesting? Mark borlais from the RAA joints us Mark. Good morning to you.

Surveys. Apparently in Victoria are being forced to publicly report their fuel prices a day before they come into effect. Motors will then be able to lock them in for twenty four hours under a cost of living shakeup announced by the state government. Good idea or not? Sounds interesting? Mark borlais from the RAA joints us Mark. Good morning to you.

Good morning Graham.

Good morning Graham.

I know we have this wonderful RAA app and you're able to see what price fuel is at any given moment, but is there any advantage to have prices locked in for twenty four hours?

I know we have this wonderful RAA app and you're able to see what price fuel is at any given moment, but is there any advantage to have prices locked in for twenty four hours?

Well, Victoria is the last state to actually have any sort of fuel a vice for reporting. And if you look around Australia, there's basically three types of schemes. There's the scheme that we've got, which is that within thirty minutes they have to report any price movements to the government. There's the Western Australian model which has been picked up by Victoria, which is essentially it locked the price in the market for twenty four hours. And then you've got some voluntary systems that operating in Northern Territory in Tasmania. Now we're in South Australia looked at what system they wanted to put in. They looked at the Queensland and New South Wales models, which we've got, and they also looked at the Western Australian models models, and both Labor and Liberal at the time decided that the light touch, the light government touch approach, that the system we've got now was better than intervening in the market, which is what the Western Australian slash Victorian model will do, where a few look effectively locked prices so the market can't move. So look, it's good that Victorias now got something. They were the only state that didn't have anything for their consumers, and their prices in their and their state were often higher than a lot of other stuff, and this is a decent step to at least get something in place so that consumers have got some certainty about what the price is going to be tomorrow, and more importantly, that they'll be able to see all prices because currently in Victoria they don't see all the fuel priced because the fuel price apps rely on independent, aggregated data from private sources and that doesn't capture often a lot of the people in the region, so a lot of the sites in the region say it's a good move that they're doing. We've taken a different one and we're quite happy with what we've got.

Well, Victoria is the last state to actually have any sort of fuel a vice for reporting. And if you look around Australia, there's basically three types of schemes. There's the scheme that we've got, which is that within thirty minutes they have to report any price movements to the government. There's the Western Australian model which has been picked up by Victoria, which is essentially it locked the price in the market for twenty four hours. And then you've got some voluntary systems that operating in Northern Territory in Tasmania. Now we're in South Australia looked at what system they wanted to put in. They looked at the Queensland and New South Wales models, which we've got, and they also looked at the Western Australian models models, and both Labor and Liberal at the time decided that the light touch, the light government touch approach, that the system we've got now was better than intervening in the market, which is what the Western Australian slash Victorian model will do, where a few look effectively locked prices so the market can't move. So look, it's good that Victorias now got something. They were the only state that didn't have anything for their consumers, and their prices in their and their state were often higher than a lot of other stuff, and this is a decent step to at least get something in place so that consumers have got some certainty about what the price is going to be tomorrow, and more importantly, that they'll be able to see all prices because currently in Victoria they don't see all the fuel priced because the fuel price apps rely on independent, aggregated data from private sources and that doesn't capture often a lot of the people in the region, so a lot of the sites in the region say it's a good move that they're doing. We've taken a different one and we're quite happy with what we've got.

Yeah, there's no question the app works really well. If you're about to fill up and you sort of think, well, you're driving on Port Raid or somewhere and you see some deer prices, think well is it. In the old days you just kept driving and hoping you're going to get something cheaper. But if you pulled over, get out of the app and think, you know, half a kilometer away or two kilometers away, I can say five cents a leader, it's certainly worth doing.

Yeah, there's no question the app works really well. If you're about to fill up and you sort of think, well, you're driving on Port Raid or somewhere and you see some deer prices, think well is it. In the old days you just kept driving and hoping you're going to get something cheaper. But if you pulled over, get out of the app and think, you know, half a kilometer away or two kilometers away, I can say five cents a leader, it's certainly worth doing.

Yeah, as I said, even the old gaps that had prices, they were often vices that were put in by people who were at this you know, were buying petrol. They were sometimes information that was given to given to the app, provided by some oil companies. So there was always an incomplete model of data out there. And it was particularly a problem once you got outside the metropolitan area, so that a lot of regional people never been from being able to see those fuel prices. Now, once you get a government regulated price reporting, then at least country people get a chance to see where the prices are everywhere.

Yeah, as I said, even the old gaps that had prices, they were often vices that were put in by people who were at this you know, were buying petrol. They were sometimes information that was given to given to the app, provided by some oil companies. So there was always an incomplete model of data out there. And it was particularly a problem once you got outside the metropolitan area, so that a lot of regional people never been from being able to see those fuel prices. Now, once you get a government regulated price reporting, then at least country people get a chance to see where the prices are everywhere.

Prices have been pretty stable recently. I know they seem to go up, you know when people are on holidays and they over Christmas and Easter and the like. But are we in for a fairly stable period in the time ahead.

Prices have been pretty stable recently. I know they seem to go up, you know when people are on holidays and they over Christmas and Easter and the like. But are we in for a fairly stable period in the time ahead.

We think so. And the reason we think that, I'm talking at international and national level. We've had relatively stable oil supply throughout since since the Russian invasion of Ukraine. You've got a US government that says they're going to produce more oil, so that's actually going to keep servicing demand. We've got there's a under two things that really affect the national price, and that is the price of crude and I'll just explained how that extra supply may keep that down. And the other one is the strength of the Australian dollar because our energy contracts are in US dollars and Australian dollar has been a bit weaker later. But so yeah, maybe over the next six twelve months, unless there's some unforeseen political issue, we're probably going to get what we've been getting. At a local level, we've seen some unusual price cycles. The most recent one the price stayed up for over a week belong as we've seen it for a very long time. But the two other cycles it stayed down at the bottom familiar week. So we're in a complicated market where it isn't just the price of the fuel. It's about how they use the price of the fuel in other parts of their business. That is, to attract people to buy groceries and coffee and fast foods and car washers. So it's all part of that whole mix. So yeah, which is pretty good news for consumers really if it keeps the price down.

We think so. And the reason we think that, I'm talking at international and national level. We've had relatively stable oil supply throughout since since the Russian invasion of Ukraine. You've got a US government that says they're going to produce more oil, so that's actually going to keep servicing demand. We've got there's a under two things that really affect the national price, and that is the price of crude and I'll just explained how that extra supply may keep that down. And the other one is the strength of the Australian dollar because our energy contracts are in US dollars and Australian dollar has been a bit weaker later. But so yeah, maybe over the next six twelve months, unless there's some unforeseen political issue, we're probably going to get what we've been getting. At a local level, we've seen some unusual price cycles. The most recent one the price stayed up for over a week belong as we've seen it for a very long time. But the two other cycles it stayed down at the bottom familiar week. So we're in a complicated market where it isn't just the price of the fuel. It's about how they use the price of the fuel in other parts of their business. That is, to attract people to buy groceries and coffee and fast foods and car washers. So it's all part of that whole mix. So yeah, which is pretty good news for consumers really if it keeps the price down.

Now, mark, the price cycle not that long ago seemed to be pretty predictable. You could you know, Monday it's high, you hold off and by the end of the week we'll start of the next week it to be down. Has the price cycle changed demonstrably?

Now, mark, the price cycle not that long ago seemed to be pretty predictable. You could you know, Monday it's high, you hold off and by the end of the week we'll start of the next week it to be down. Has the price cycle changed demonstrably?

Yeah, So the price of the weekly price cycle you were talking about is quite a few years ago. We've had a relatively stable fortnightly cycle for the last couple of years now. The East Coast, a lot of their cycles are six weeks now. The advantage of a short cycle when low prices come around every fortnight is that if you can make a tank of juice last a fortnite, if I buy today when it's cheap. I missed the spike. Keep driving my car, let the prices come back down to the bottom again and fill up. You can be buying the petrol at wholesale or below if you're smart enough and are able to able to make that tank last. So this is Mcdoni's just the short cycle.

Yeah, So the price of the weekly price cycle you were talking about is quite a few years ago. We've had a relatively stable fortnightly cycle for the last couple of years now. The East Coast, a lot of their cycles are six weeks now. The advantage of a short cycle when low prices come around every fortnight is that if you can make a tank of juice last a fortnite, if I buy today when it's cheap. I missed the spike. Keep driving my car, let the prices come back down to the bottom again and fill up. You can be buying the petrol at wholesale or below if you're smart enough and are able to able to make that tank last. So this is Mcdoni's just the short cycle.

Excellent good on your Mark, Thanks for your input. Day out now. Can we expect a feel to go out for the straight to day weekend? Would you think.

Excellent good on your Mark, Thanks for your input. Day out now. Can we expect a feel to go out for the straight to day weekend? Would you think.

No, We've we've got a little bit of a spike going on now because we've been coming it has been coming down. But if it does, even if the spikes is still around at the end of the week. One of the good things is if you are going away often when it's high in the city, the prices will be low in the country. Season fill up out there.

No, We've we've got a little bit of a spike going on now because we've been coming it has been coming down. But if it does, even if the spikes is still around at the end of the week. One of the good things is if you are going away often when it's high in the city, the prices will be low in the country. Season fill up out there.

Excellent good on your make good to chat.

Excellent good on your make good to chat.

Thanks for interesting mate, Mark.

Thanks for interesting mate, Mark.

Paul R. A mobility expert

Paul R. A mobility expert