Brisbane's Fuel Woes: A Burning Issue for Drivers
For three years running, Brisbane has held the unenviable title of having the highest fuel prices among all Australian capital cities. This ongoing issue has left Brisbane drivers feeling the pinch at the pump, with no signs of relief in sight.
The latest annual report from RACQ, the state's leading motoring body, reveals a stark reality. Brisbane's average unleaded fuel price in 2025 was a staggering 185.2 cents per litre (cpl), significantly higher than the cheapest city, Adelaide, where drivers enjoyed an average of 173.8 cpl. This disparity has sparked a conversation about the reasons behind Brisbane's expensive fuel prices and potential solutions.
But here's where it gets controversial... RACQ's principal economic specialist, Dr. Ian Jeffreys, suggests that Brisbane's fuel market is a legacy issue. He explains, "Our price cycles are longer, the jumps are higher, and the cheap phases are shorter." In simpler terms, Brisbane's fuel prices tend to stay high for longer periods, with fewer opportunities for drivers to benefit from lower prices.
And this is the part most people miss... Dr. Jeffreys highlights the importance of independent service stations. Unlike other capitals, Brisbane has fewer of these smaller, independent stations, which often offer more competitive prices. He notes that some of these independent stations in Brisbane are now breaking the price cycle, offering consistently lower prices regardless of the market.
So, where can drivers find some relief? Kuraby, on Brisbane's southside, emerged as the city's cheapest suburb for fuel in 2025, with an average of 162.8 cpl. A 25-minute drive away, Clayfield recorded Brisbane's highest average at 200 cpl, showcasing the significant price differences across the city.
Dr. Jeffreys emphasizes the potential savings for motorists who are willing to shop around, with some price differences reaching nearly 40 cpl between suburbs. He also highlights that Brisbane has the second-highest diesel price in the country, averaging 189.6 cpl, an improvement from 2024's average of 193.6 cpl.
Why is Brisbane so expensive? Dr. Jeffreys attributes this to several factors, including the longer and more volatile price cycles, fewer independent service stations, and the lack of new sites being developed fast enough to make a significant impact on average prices.
In response to these findings, RACQ is calling for market regulation to address unfair and unjustified price hikes. Dr. Jeffreys believes that some form of government intervention is necessary, stating, "Queensland's capital has consistently been one of the most expensive and unpredictable cities for fuel, and it's clear the current market isn't working in the best interests of motorists."
So, what do you think? Is government regulation the answer to Brisbane's fuel woes? Or are there other factors at play that we haven't considered? We'd love to hear your thoughts in the comments below!
