How Soon Could Motorists Feel More Pain At The Pump? | The Business | ABC NEWS Truist Championship Prize Money [kvWDrCL1hM7]

The price of oil has continued to climb after the US and Iran moved further from the ceasefire and in the direction of a return to all-out war.

Brent crude has climbed above $US90 a barrel, castle spurs and is trading up about 25 per cent since the end of June.

But it's still a long way from its conflict-high in April, when it was $US124 a barrel.

NRMA's Peter Khoury joins The Business to discuss how long it could be before motorists feel pain at the pump again. He says it takes about 7 to 10 days for what happens with oil prices in the Asian markets to flow to the wholesale price, and then on to what motorists pay at the bowser. Mr Khoury says any increase is likely to coincide with the end of the federal government's fuel excise driving discount, which will see another 16 cents a litre added to the price of fuel.

But, he says, Australians are not likely to go back to paying well over $2 a bts litre for unleaded and $3 a litre for diesel, such as when the war began. Instead he estimates that based on today's prices, diesel could rise to about $2.30 a litre within a month but points out until the Strait of Hormuz is opened permanently, fuel prices will remain a guessing game.

#ABCBusiness

Subscribe:

Note: In most cases, our captions are auto-generated.

#ABCNEWS #ABCNEWSAustralia