ACCC analysis has found that if motorists in Sydney had simply avoided buying E10 on the six days around the price cycle peaks in the previous six months, they would have paid on average around 2.6 cents per litre less.
Assuming similar savings for the other types of petrol, the estimated overall savings for Sydney motorists over a year would be in the region of $85 million.
Fuel App Source: fuelcheck.nsw.gov.au
Analysis of other large cities shows:
- estimated savings in Melbourne are in the region of $75 million, with average RULP prices 2.3 cpl lower
- estimated savings in Brisbane are in the region of $40 million, with average RULP prices 2.4 cpl lower
- estimated savings in Adelaide are in the region of $30 million, with average RULP prices 3.3 cpl lower.
ACCC Chairman Rod Sims said that those motorists who fill up weekly can make substantial savings by avoiding the six most expensive days in the price cycle.
“Motorists that can fill up less frequently, however, and therefore buy petrol when prices are falling can save much more.”
Source: ACCC
He advised motorists that they should time their petrol purchase using fuel transparency apps and websites.
“For example, avoiding buying petrol on the 10 days around the price cycle peaks would see motorists save 3.8–6.1 cpl in the capital cities. This would see annual savings of $141 million in Sydney, $124 million in Melbourne, $68 million in Brisbane and $55 million in Adelaide,” Mr Sims said.
“There can be significant price differences between sites at different points in the price cycle, so motorists that shop around can save themselves a lot of money.”
Source: ACCC
Use of these apps and websites is particularly relevant to those motorists in the larger cities which have petrol price cycles.
The average petrol price in the five largest cities (i.e. Sydney, Melbourne, Brisbane, Adelaide and Perth) was 122.5 cpl in the September quarter 2017.
“Despite an increase in international refined petrol prices, influenced by the activities of the OPEC cartel, an increase in the AUD-USD exchange rate in the quarter meant that prices at the pump decreased to their lowest levels since late 2016,” Mr Sims said.
Retail prices in Brisbane were again the highest of the five largest cities, with an average price of 124.7 cpl, which was 2.7 cpl higher than the average across the other four largest cities.
Source: ACCC
Source: ACCC
“That report found that retailers in Brisbane achieved higher margins and profits due to weak retail competition,” said Mr Sims.
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