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Business / New South Wales

Why Australia has a 'fuel costs crisis' not a fuel supply crisis when it comes to diesel

1 min read Rewritten in plain language

Petrol PricesUnrest Conflict and WarInflationAgribusiness

Changed after publishing · 1 edit
  • the headline was changed: Why Australia has a 'fuel costs crisis' not a fuel supply crisis when it comes to diesel'crack spread' filling refiners' coffers as conflict cuts margins

Outlets edit stories after they go out, usually without saying so. We keep what we saw the first time.

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  • Diesel prices are well above pre-war levels and unlikely to come down.
  • The wheat and sheep farmer said the price of diesel, pesticides, herbicides and even shipping to his property just outside Wagga Wagga have all increased.
  • For farmers like Mr Roles the pressures from the conflict in the Middle East look likely to continue, according to Commonwealth Bank head of commodities Vivek Dhar.
  • Mr Dhar said only about half the amount of crude oil from before the war is being exported from the Persian Gulf.
  • Mr Roles, who is also chair of the New South Wales Farmers Grain Committee, said "it's not like we can pass on these additional costs".

5 sentences from our version of the report, chosen to cover it. Nothing here is written; every line is in the article below. How

Crude oil has surged over $US105 per barrel, up from around $70 per barrel before the conflict.

Headline check

One of the two things this headline claims is not in the report.

  • The headline puts “fuel costs crisis” in quotation marks. Nobody says those words anywhere in the report.

Figures, names and quoted words in the headline, looked for in the report itself — not in the summary above. How this is checked

Diesel prices are well above pre-war levels and unlikely to come down.

Agricultural businesses are being hit hard with increased costs of fuel, fertiliser and pesticides.

Rising transport costs could flow through to the rest of the economy and worsen inflation, according to industry experts.

The wheat and sheep farmer said the price of diesel, pesticides, herbicides and even shipping to his property just outside Wagga Wagga have all increased.

Crude oil has surged over $US105 per barrel, up from around $70 per barrel before the conflict.

For farmers like Mr Roles the pressures from the conflict in the Middle East look likely to continue, according to Commonwealth Bank head of commodities Vivek Dhar.

The war's closure of the Strait of Hormuz, through which a fifth of the world's oil normally flows, has left much of the world scrambling for commodities like diesel.

Mr Dhar said only about half the amount of crude oil from before the war is being exported from the Persian Gulf.

Refiners are not letting a crisis go to waste, with the profit margin per barrel, known as the "crack spread", increasing from around $24 to $69.

Australia is vulnerable to those price swings as it imports around 80 to 90 per cent of its diesel.

Mr Roles, who is also chair of the New South Wales Farmers Grain Committee, said "it's not like we can pass on these additional costs".

For the year to July prices rose at 3.6 per cent, the same speed as the previous month.

Shortened to 1 minute of reading, this version reads 8 on the Niral Score.

You are reading our version, not theirs. This is ABC News (Business)'s report shortened to its most important sentences, in plainer words, with verdicts and loaded words taken out. Plain description stays, and so do adjectives that carry a fact, such as "former" or "federal". The reporting, the facts and the quotations are theirs — quotations are never edited — and the indicators beside it measure this version. Hover or tap Adjectives to see every one left in the text.

How this outlet filed it, and how we rewrote it

No other newsroom we read has filed on this event, so there is nothing to compare it with yet.

Outlet Niral ScoreAdjectivesSourcingSentimentHappiness
ABC News (Business)as they published this story 12.9 14 65 -0.4 36
Mundane Readneutralized from ABC News (Business) 12.2 13 65 -0.4 36

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