Cost-of-living and fuel crisis intensify — grocery inflation, Budget CGT changes, poll shows voter backlash; housing market shift; fuel rationing threat; energy infrastructure milestone; oil inventory deficit; ACCC blocks Coles; Matsa Resources gold project; gas windfall export tax debate; record EV sales; A$38B export windfall; EV charger rollout fragmentation; OX2 solar-storage project; fuel price gouging hits 79% of Aussies; oil prices back to pre-war levels but domestic pain persists
Key Questions
What is driving the rise in grocery and fuel prices?
Grocery inflation hit 2.9% YoY with Bega and Coles warning of 10%+ cost increases, while fuel prices jumped after the excise discount halved, leaving 79% of Australians feeling gouged. Temporary excise cuts end June 30 amid predictions of Sydney petrol reaching $1.99/L.
How are EV sales performing amid the fuel crisis?
June VFACTS recorded 140k sales with BEVs at 23.3% share and BYD nearly overtaking Toyota. Chinese-built vehicles now account for nearly 2 in 5 sales, marking a major shift in the auto market.
What new renewable energy projects are advancing in Australia?
OX2 acquired the 230MWac Corop solar-plus-storage project in Victoria, while Transgrid completed Project EnergyConnect linking NSW, SA and Vic. CleanPeak Energy signed a 15-year deal to power Western Sydney International Airport with 100% renewables.
What does the latest polling show about voter sentiment on the budget?
The Guardian Essential poll found Labor's budget failing with Albanese's net approval at -17 and One Nation surging to 28%. Voters remain skeptical despite July 1 wage and tax changes.
How might the Iran conflict impact Australia's exports and fuel supplies?
Australia expects an extra US$26B from exports including LNG, gold and coal due to war-driven price spikes, while gas giants could gain $18B. However, domestic fuel stocks remain low at 34-41 days, raising rationing concerns.
What actions has the ACCC taken regarding supermarket competition?
The ACCC used new powers to block a new Coles store in Kalgoorlie to protect competition. This follows ongoing scrutiny of grocery price gouging.
How are giant batteries helping with energy costs?
Australia's growing battery fleet is flattening the duck curve and cutting peak power prices in Victoria. This provides practical cost-of-living relief and improves grid stability.
What is the status of fuel reserves and potential rationing?
Government plans aim to boost reserves to 50 days with $7-10B investment, but current stocks are critically low. NRMA forecasts further price spikes after the excise cut ends, with possible rationing by August.
Bega/Coles warn 10%+ costs; grocery prices +2.9% YoY; Woolies freezes 300 essentials; rents +37%. Guardian Essential poll: Labor's budget fails, One Nation surges to 28%, Albanese net approval -17. CGT changes impact mining exploration. Fuel crisis: Albanese/Chalmers $7-10B boosts reserves to 50 days, prices near 181.5c/L; temporary 25c/L excise cut ends June 30; NRMA predicts Sydney petrol $1.99/L in July due to Iran war. Australia faces fuel rationing by August. Diesel rebate debate: $11.2B annual cost. NSW toughens fuel price laws. Small businesses push for energy rebates. US-Iran strikes hit ASX, oil prices surge. New video analysis explores potential gains for Australia's LNG and clean energy exports from Iran crisis. EV sales: Tesla Model Y top, BEV+PHEV 30% share, diesel utes crashing. Two major lithium projects green lit in WA with A$490M investment. Transgrid completes Project EnergyConnect, linking NSW, SA, Vic. New SMH article: green energy shielding Australia from global power price shocks. New article: end of fuel excise discount adds $74/month to household budgets. One Nation's Hanson calls for 'monocultural' Australia. Contradictory fuel price forecast: horror scenario of $3/L but predicts below $2/L by early 2027. New oil inventory data: OECD stocks at 50 days cover, SPR at 1983 lows – physical supply deficit could reignite price spikes. ACCC uses new powers to block a Coles in Kalgoorlie. Matsa Resources board refresh to fast-track Lake Carey gold project in WA (949k oz resource). New article: Labor's July 1 wage/tax/super changes face skepticism as critics warn rents and rates could wipe out gains; polling shows modest Labor lift but voters still feel worse off. New: SMH reports gas giants set for $18B revenue surge from Iran war-driven LNG price spike, reviving calls for a 25% export tax; domestic gas prices stable due to renewables and batteries. New: Australia expects extra US$26B from exports (LNG +A$20B, gold A$71B, coal A$68B) due to Iran war – SCMP report. New: June VFACTS record 140k sales, BYD nearly overtakes Toyota, BEVs 23.3% share, Chinese-built vehicles nearly 2 in 5 – major auto market shift. New evidence: Australia's giant batteries are flattening the duck curve and cutting peak power prices in Victoria, providing practical cost-of-living relief and grid stability. New political development: Taylor rules out coalition with One Nation amid poll surge. New ASX preview notes OPEC output increase and Vault Minerals merger (AU$5.6B). New: AGL to deliver 9.2MWp solar microgrid in South Australia – a practical energy project adding to renewable infrastructure. New fuel stock data: gasoil 38 days, gasoline 41 days, jet 34 days (Argus). New EV sales data: June EV sales hit 23.4% share, China import share 35.5% – consistent with VFACTS record. New analysis from The Conversation highlights fragmented EV charger rollout as a key barrier to adoption despite surging sales – practical infrastructure angle. New: OX2 acquires 230MWac Corop solar-plus-storage project in Victoria – a concrete renewable infrastructure deal adding to grid capacity and cost-of-living relief. New fuel price pain: 79% of Aussies feel gouged after excise discount halved, Sydney prices up 17c in a week. ACCC warning adds accountability. Full excise restoration looms in August. Economists now say recession is off the table thanks to de-escalated Middle East conflict and oil prices back to pre-war levels. But per capita GDP contraction, weak consumer confidence, and potential RBA hikes still paint a dreary near-term outlook.