Warrnambool residents urged to fill up before petrol price hits $2 per litre

On Friday morning, the price per litre was 186.9cpl at Caltex in west Warrnambool and APCO.

Other service stations were charging 199.9cpl.

NRMA spokesman Peter Khoury said it was rare to find service stations across Australia that were charging under 190cpl for unleaded.

"Please fill up now and make sure you go to the service stations that have the lower price per litre," Mr Khoury said.

He said in regional areas across Australia the average price was over 190cpl, while the average price in Sydney was $2 per litre.

Mr Khoury said he had no doubt the price would hit $2 per litre in Warrnambool in the coming weeks.

"As the weeks progress, the prices are going to continue to spiral out of control," he told The Standard on Friday.

Mr Khoury said the price drivers are paying at the bowser was unprecedented.

We're struggling to be able to point to any factors globally that will provide any sort of short-term relief."

The sizeable jump of Brent Crude to nearly $US130 ($A179) a barrel comes after President Joe Biden announced overnight the banning of Russian oil and gas imports in what he termed as a "blow to (Vladimir) Putin's war machine".

Russia, the second-largest exporter of oil globally, has threatened to push prices up to $US300 ($A414) a barrel by cutting supplies to Europe in retaliation to heavy sanctions levelled against it.

Prices at Australian petrol stations hovered around the $1.80 per litre mark before the February 25 invasion but have spiked to around $2.

"We have no control over this," Mr Khoury said.

He noted Australia, a significant oil producer and exporter, relies heavily on imports even though they do not come directly from Russia.

More than half of Australia's refined products come from South Korea and Singapore, according to Shipping Australia - the peak industry body for shipping.

"The latest Russian invasion of Ukraine has just escalated the increases to a whole new level.

"They (prices) have gone up about $US50 ($A69) a barrel this year alone," Mr Khoury said.

IN OTHER NEWS:

Our journalists work hard to provide local, up-to-date news to the community. This is how you can access our trusted content:

Now just one tap with our new app: Digital subscribers now have the convenience of faster news, right at your fingertips with The Standard: