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HomeAUDiesel Prices Surge to $4.25/Litre on K'gari Amid Fuel Crisis Revelations by...

Diesel Prices Surge to $4.25/Litre on K’gari Amid Fuel Crisis Revelations by Local Proprietor

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Orchid Beach Trading Post and Driftwood Bar, one of the few options for filling up on K’gari, is now charging $4.25 a litre for diesel – well above the national average of $2.84 a litre as reported by the Australian Institute of Petroleum.
After facing backlash on social media over the seemingly record price, co-owner Nicky took to Facebook to explain she has “done everything [she] can” to minimise surging costs at the bowser.
Orchid Beach Trading Post and Driftwood Bar
Orchid Beach Trading Post and Driftwood Bar is now charging $4.25 per litre for diesel. (Orchid Beach Trading Post and Driftwood Bar)

“I understand the frustration about fuel prices—believe me, I don’t like them any more than you do,” Nicky expressed in a recent communication.

“However, it’s important to keep in mind the challenges faced by a small, independent service station located in a remote area. We operate completely off-grid, relying on generator power, and often can’t confirm delivery dates or prices ahead of time. This is simply the reality of supplying fuel in such a location,” she explained.

Transporting fuel to the 122-kilometre-long sand island presents significant challenges.

The Orchid Beach Trading Post and Driftwood Bar is one of only five places where fuel is available on K’gari.

At this location, drivers have the option to purchase either unleaded or diesel fuel.

Fuel on the island is generally more expensive than mainland Australia due to the high delivery costs, which involves the use of a barge.

Before the conflict in the Middle East disrupted the flow of crude oil to Australia, diesel could already nudge $3 per litre on K’gari.

Orchid Beach Trading Post and Driftwood Bar
The general store is one of just five options for fuel on the island. (All About Fraser Island)

Nicky said her business is getting “absolutely smashed” by suppliers, including new charges for delivery.

“Those costs add up fast,” Nicky said.

“And just to clear a few things up… if anyone thinks we’re sitting on cheap fuel bought months ago – yeah, nah,” she added.

Orchid Beach Trading Post and Driftwood Bar
Supplying fuel to the 122-kilometre-long sand island is already a precarious exercise. (Orchid Beach Trading Post and Driftwood Bar)

“We don’t have big storage tanks, and this place runs on close to 2,000 litres a week just to stay open.

“I am absolutely not here to take advantage of anyone – just focused doing my absolute best to keep a service running in a pretty tough environment.”

She urged visitors to K’gari to fill up their cars on the mainland beforehand, particularly 4WD drivers.

The owners declined to comment when contacted by Nine.com.au.

Fears are growing that the price of diesel could surpass $4 per litre more broadly across Australia.

Around 550 petrol stations around Australia have run out of at least one type of fuel as prices skyrocket and supplies threaten to dry up.

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