Petrol price drop re­flects low­est oil prices in years

South Waikato News - - SPORT / TE PAPA HA¯ KINAKINA - By TOM HUNT

An­nual petrol bills should be about $ 140 cheaper for mo­torists after the sev­enth con­sec­u­tive cut to petrol prices on Mon­day.

Both petrol and diesel prices have hit a new low for 2014, drop­ping 2 cents a litre to their low­est point since April and May last year.

Na­tion­ally, a litre of 91-oc­tane fell to 207.9c and diesel dropped to 140.9c a litre and as of yes­ter­day morn­ing most Toko­roa fuel sta­tions had fol­lowed suit, match­ing oc­tane-91 prices and, in some cases, even fur­ther drop­ping diesel - BP and Mo­bil sta­tions sold diesel at 139.9c a litre.

BP spokesman Jonty Mills said it was the sev­enth con­sec­u­tive petrol price drop in six weeks.

In late Septem­ber mo­torists were pay­ing 221.9c a litre for 91-oc­tane petrol, and 151.9c a litre for diesel.

Au­to­mo­bile As­so­ci­a­tion Petrol­Watch spokesman Mark Stock­dale said the 14 cent drop in petrol would trans­late to about $ 140 in petrol sav­ings over the course of a year.

This was based on a typ­i­cal medium-sized two litre car, he said, which the AA es­ti­mates uses about $ 2800 of petrol an­nu­ally.

Mills said the cut was be­cause of the con­tin­ued down­ward trend in the cost of prod­uct on the in­ter­na­tional mar­ket.

Last week, oil prices were at their low­est in four years.

But Mills said it was not un­usual for prices to drop at this time of the year with a change of sea­sons.

‘‘There is also stock­pil­ing go­ing on, which lessens de­mand and drives the price down. At the mo­ment it’s good news for mo­torists as the pump price is at its low­est since April last year and we’re hand­ing on th­ese ben­e­fits as quickly as pos­si­ble.’’

The AA put the price-drop down to fall­ing re­fined fuel prices, on the back of fall­ing oil prices.

The ex­change rate had also firmed up a lit­tle.

SAV­INGS COM­ING: Fuel prices are fallilng just in time for Christ­mas.

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