what happened to lpg

It's just Rudd and Swan screwing every last cent out of us LOLOL

Actually it's the Saudi's.....
According to Fuelwatch the wholesale price of LPG (which is determined by the Saudi's) has gone from ~37c/LT in August, to ~53c/LT in November

"LPG Benchmark Prices
Wholesale prices for LPG in Australia are based on a benchmark price set in Saudi Arabia. This price is set once a month, and is published is in US dollars per tonne. This price is converted into Australian cents per litre to form a base for local wholesale prices."

My understadning is that LPG price goes up at the beginning of the Northern winter, because the Europeans use LPG as a heating fuel. For the past 4 or 5 years I've watched it go up in Oct/Nov and come down again in Feb/March.

I filled up today in Brisbane, local servo was 59.9c on thursday, today it's 66.9
Thats a 10% jump
I know its still a lot cheaper than in the bush, but a 10% jump?
Shane

Yesterday morning went past our local Caltex LPG 64.9 cpl, same as our Mobil bloke. Came home in the arvo and Caltex up to 74.9cpl, Mobil still 64.9!

How the hell can he justify that? We're in a little town but only hour and half from Melbourne, not the back of Bourke. You try to support your local in little towns and then they sh_t on you like that. By the way prices for both were unchanged this morning.

Looking at the fuel watch on this site for a while and we're consistently 10c per litre dearer tha most in the state; now it looks like it'll be 20c (hope the other stays down).

And another thing...my understanding is Australia has so much LPG we cart it to China for next to nothing, so why do we have to be bent over the barrel by overseas prices? What's wrong with Australia saying sticking to their own pricing (20cpl?).

Someone must be making a fortune from LPG.

My little rant,

Mark.

It seems to me that whenever the price of unleaded goes up so does the price of LPG, im still confused at what the 2 have in common.

Adapi

It seems to me that whenever the price of unleaded goes up so does the price of LPG, im still confused at what the 2 have in common.

Adapi

MrBitchi has got it right and here are some of the key facts from the Australian LPG Association.
In essence, we export Butane which we have lots of and import Propane which we don't have as much of to make up our LPG.

KEY FACTS

As a result the December 2007 LPG benchmark has increased to USD 872.50 per metric tonne for a 50/50 mix of propane and butane, which is an increase of USD 130.00 per tonne or around 17.5 per cent since November.

* In 2006 Australia produced approximately 3.1 million tonnes of LPG. In the same year Australia consumed 1.9 million tonnes.
* Some 80% (2.5 million tonnes) of LPG production is 'naturally occurring' and is sourced directly from underground reserves associated with crude oil and natural gas production.
* 20% of indigenous LPG production (600,000 tonnes) is extracted from crude oil refining at the seven refineries located near Australia's major capital cities.
* 60% of LPG consumed is used in automotive applications across 550,000 cars and light commercial vehicles.
* Australia currently exports approximately 1.5 million tonnes of LPG but also imports around 300,000 tonnes of LPG (propane) to the large East Coast market.
* In 1991 as part of the reforms within LPG industry, the wholesale price of LPG was deregulated.
* The main component of local LPG prices is the prevailing international LPG price level. However, in addition to this, local prices reflect transport and storage costs.
* Australian producers who invested in export LPG facilities in developing their oil and gas fields are able to export their LPG at international price levels whilst imports of LPG have to be paid for at international prices.
* The international benchmark used to determine the cost of Australian LPG is the Saudi Aramco Contract Price (“Saudi” CP or just “CP”) expressed in US dollars per metric tonne.
* Saudi Arabia is by far the largest exporter of LPG to the Asia/Pacific region and the prices established between it and its largest customers reflect the base value of Australian LPG in regional export markets.