‘Artificially inflated’ petrol prices in Sydney, Melbourne and Brisbane, NRMA finds

Sydney, Brisbane and Melbourne petrol prices are being held above competitive market prices by the fuel companies, the National Roads and Motorists Association says.

New NRMA analysis finds more competition and real time data in Darwin took the top end capital from most expensive to second cheapest in the space of seven years.

But in Sydney, Brisbane and Melbourne, the competition which should drive prices lower simply is not playing out.

Canberra remains the most expensive. The average litre of unleaded has gone up more than 50 cents in Sydney and Brisbane in the space of five years.

NRMA spokesman Peter Khoury said there would be motivation to fix the issues in the three largest cities in an election year.

“Artificially inflated prices don’t just hurt families, they also have a negative impact on the Australian economy at a time when cost of living pressures and inflation sit at the top of concerns for Australia’s policymakers and families alike,” he said.

“Solving for this problem in an election year will be absolutely critical.”

NewsWire has contacted the 10 largest Australian fuel retailers for comment.

The research finds regular unleaded cost – on average – 196.3 cents in Canberra this year.

Brisbane (195), Sydney (191.1) and Melbourne (190.3) took the second, third and fourth-most expensive spots.

Perth is the cheapest. The average annual fuel bill costs $426 more in Canberra than in Perth.

“There is no justifiable reason for our biggest cities to be among the most expensive – it just doesn’t pass the pub test – and the NRMA wants the ACCC to dive into these longer price cycles and the fact that they have resulted in higher prices for Australian families,” Mr Khoury said.

The NRMA says the price cycles in Brisbane, Sydney and Melbourne are artificially inflating prices. Perth – the cheapest city – has a weekly price cycle. Motorists in the WA capital may find long queues at the servo on Tuesday nights, but like clockwork prices rise on Wednesday morning.

Darwin can also serve as an example for the larger cities, the NRMA says. In 2017, Darwin had the most expensive petrol. Since then, real time price data and more competition among retailers has been developed; now only Perth is cheaper.

Rankings for cheapest regular unleaded fuel in 2024

1. Perth 181.4 (cents)

2. Darwin 182.5

3. Adelaide 182

4. Hobart 188.6

5. Melbourne 190.3

6. Sydney 191.1

7. Brisbane 195

8. Canberra 196.3