First they sold us the – “power prices must necessarily skyrocket” – LIE – a lie that power companies were quite happy to oblige.
Now the fracking boom in the USA has made the USA a bigger oil producer than Saudi Arabia and oil prices are “in free fall” but the poor mug aussie public are still blissfully paying huge petrol prices at their local duopoly supermarket bowser.
Of course the Government will be in no hurry to correct this rip off because they make much more money out of petrol than the oil companies! Like the Carbon Tax, our fuel tax is a nasty regressive tax because it taxes production not profits and earnings, acts as a brake on the economy, and makes us uncompetitive with the many countries who don’t tax fuel.
POSTSCRIPT – Instead of letting it stimulate the economy, the Australian Government have jumped in to grab the benefit from this crude oil price drop and shore up the revenue by indexing their petrol tax. Their tax rise would normally see the petrol price rise, but now the retailers will probably have to absorb it because they can, there is competition in the retail market. The Government will let them benefit from the crude oil price drop until early next year. The mug punter only gets upset when prices jump up. They get used to paying. http://www.businessspectator.com.au/news/2014/10/28/economy/govt-drives-through-fuel-excise-hike