Cost of living: Petrol prices remain over $3 at large number of stations

The price of petrol at a large number of stations remains above the $3 mark despite a 25c cut in gas taxes overnight.

Among the most expensive is the BP petrol station on Jervois Rd in the Auckland suburb of Ponsonby, which has 91 for $3.37, according to price-tracking app Gaspy.

That's significantly higher than Auckland's cheapest price in North Shore, at Gull Albany for $2.64.

In early March, the national average for 91 was about $2.86 per litre, according to weekly fuel price monitoring data from the Ministry of Business, Innovation and Employment. 

The Government on Monday took aim at skyrocketing petrol prices, announcing a fuel tax cut of 25 cents per litre for three months from midnight. It came amid pressure to fix New Zealand's cost of living crisis. 

But despite the tax cut coming into effect overnight, petrol remained above the $3 mark across many Auckland petrol stations including BP Hillside ($3.26), Z Quay St ($3.25) and Caltex Penrose ($3.25), Gaspy pricing shows.

The good news is the price for 91 has dropped below the $3 mark at many other Auckland stations. AM reporter Jack Pirie said the price at Z Ponsonby was $2.91 on Tuesday morning.

It was even cheaper down the road at Mobil Karangahape Rd - where the price for 91 had dropped to $2.79 from $3.03 on Monday, Pirie said.

Down in the capital, just a few Wellington stations remain above $3 including BP Melling and BP Railway Ave in Lower Hutt (both $3.16) and BP Porirua ($3.14).

According to Gaspy, some stations in Christchurch had dropped 91 below $2.60 - the cheapest being at three Waitomo outlets on Fitzgerald Ave, Cranford St and Ferry Rd as well as the NPD self-serve on Stanmore Rd (all $2.57). That compares with the Garden City's most expensive price of $3.07.

At least three Canterbury stations still have 91 for above $3 per litre, according to Gaspy.

Terry Collins, a principal policy advisor at the Automobile Association (AA), warned on Monday petrol prices were still "extremely volatile".

"We could see prices continue to fluctuate," he told RNZ's Checkpoint. "You've got this high volatility that's running around - you've got a number of other factors that come into play." 

The AA, however, welcomed Monday's tax cut announcement, Collins said.

"For somebody who's got a 50-litre tank - they will save $14.37 on that tank and that's a fairly substantial saving," he told Checkpoint.