Broken Hill petrol prices have already risen and across the world countries are readying for the effect of the “Ukraine situation” on crude oil.
While the Ukraine / Russia situation is thousands of kilometres away from Broken Hill it will still affect our petrol prices.
The Australian Competition and Consumer Commission says the fluctuation in petrol prices are not always related to the cost of a barrel of crude oil; however the cost does have an effect especially when the prices rise due to international pressures such as availability or interruptions to supply by problems like war or sanctions.
The Financial Review reported that crude oil could rise “above $120 dollars a barrel and lead to a global supply shock” if Russia invades Ukraine.
In Broken Hill, prices range from 180.9 cents per litre to 186.9 cents per litre, according to Petrol Spy.com.au.
A quick glance around the country on the same website has Adelaide prices roughly 20 cents less than Broken Hill and Mildura 10 cents less.
If Russia invades Ukraine, it is expected that severe sanctions will be introduced against Russia and the NORD Stream 2 Gas pipe, going from Russia to Germany, will be closed, according to President Biden.
He also said that he would reinforce the defences in the NATO countries.