The ACCC has a Ministerial Direction to monitor prices, costs and profits relating to the supply of petroleum products in Australia for 3 years, beginning on 19 December 2019. Under the direction, we prepare quarterly petrol monitoring reports focusing on price movements in the capital cities and over 190 regional locations across Australia. We also prepare reports on particular issues of interest in the industry.
Biofuels, such as ethanol blended fuels and biodiesel, are made from vegetable and animal products. We monitor changes in the biofuels market.
Changes in international benchmark prices and the value of the Australian dollar influence fuel prices. Other factors are pricing decisions by wholesalers and retailers, and levels of competition in different locations.
Wholesale suppliers and fuel resellers have rights and responsibilities under the code. It covers supply, sale and purchase of declared petroleum products, like unleaded petrol and diesel.
In Australia, petrol, diesel and automotive LPG prices are deregulated – that is, they are not controlled by the government. The market determines Australian fuel prices. Fuel prices go up and down due to a mix of factors, including both overseas and local market forces.
Petrol prices move up and down in regular patterns in Australia’s major cities. These petrol price cycles are the result of pricing policies of petrol retailers.