"Motorists are really unhappy with fuel prices at levels not experienced for decades," says Mike Noon, AA Motoring Affairs General Manager.

"The increase in pump prices continues to reflect rising prices internationally for crude and refined petrol and diesel, especially the latter. Despite a small drop in crude prices last week, this has not been passed onto consumers because the refined prices went up."

Prices for 91 octane began the month on $1.89, rising a cumulative 12 cents in just ten days, while diesel rose 17 cents from $1.57 to $1.74 per litre, in the main centres.

According to AA PetrolWatch, crude prices have risen 86 per cent in the last twelve months, but refined diesel is up 91%, and refined petrol up 53 per cent. By contrast, diesel pump prices in New Zealand are up 69 per cent, and petrol up 28 per cent over the same period.

"New Zealand is not alone in experiencing these record fuel prices, and many countries are grappling with the rising living costs these bring. Unfortunately they are a symptom of continued investment in the commodity markets, coupled with high demand for fuel internationally."

"Although the Government has commenced investigations into the pricing structure of the New Zealand fuels market, it will be sometime before this work is completed. However New Zealand is not alone, and the same solutions to high fuel prices in other countries apply here, which is for motorists to look at ways to cut their fuel use and costs. That includes things like checking your tyre pressure frequently, accelerating gently and keeping your speed constant, and reducing loads and removing roof racks."

If you're considering replacing your car, check out the www.rightcar.govt.nz website that helps you choose the most efficient model for your needs.

For more information contact

Mike Noon
General Manager - Motoring Affairs
New Zealand Automobile Association
T. +64 4 931 9984
F. +64 4 931 9964
M. +64 21 659 704
E. mnoon@aa.co.nz

The New Zealand Automobile Association is an incorporated society with over one million members. It represents the interests of road users who collectively pay over $2 billion in taxes each year through fuels excise, road user charges and GST.