The Most Affordable Countries for Fuel The US has long imposed relatively low taxes on its fuel, which is a large part of the reason why prices are so much cheaper than other developed countries.
The United States is ranked the cheapest, at around 150 cents per litre (AUD).
Countries game the consumer cost of gasoline through taxes and subsidies, leading to wildly different prices around the globe. In the US, prices are far lower than most large economies because of comparably light taxes at the federal and state level.
“International benchmark prices and the value of the Australian dollar have the most influence on the price consumers pay for fuel,” the ACCC said on its website. “Pricing decisions by wholesalers and retailers, and levels of competition in different locations [also] influence fuel prices.”
Official statistics from the Bureau of Resource & Energy Economics (Australian Petroleum Statistics) and the International Energy Agency (IEA) show that Australia has among the lowest petrol and diesel prices of all OECD countries.
Venezuela is the world's cheapest country to buy petrol, where amazingly it costs just 2 pence (GBP) a litre. This is because it's home to some of the biggest oil reserves in the world. But it's also a country where income is very low too.
Tasmania has the most expensive average petrol price at $2.37 per litre (95 octane), while New South Wales and Victoria tied for the least expensive, at a still-unprecedented $2.19.
Australia is one of only six countries in the OECD not to have any vehicle-emissions standards. Our fuel quality is also among the worst in the group, with a maximum of 150 parts per million (ppm) of sulphur for 91 octane regular unleaded, and up to 50 ppm for our 95 and 98 premium unleaded.
Goods and services tax (GST)
Retail fuel prices in Australia include GST at the rate of 10% (or 1/11 of the total price paid).
This is the reason why Australian retail prices are linked to the price of Mogas 95, which is the appropriate benchmark price for petrol in Australia. The Mogas 95 price is influenced by the international price of the crude oil from which it is made.
Although set to provide more reprieve for motorists, who endured a tough 2022 at the pumps, South Africa's fuel price flip-flopping, at its peak of over R26-litre a litre for 95, still stands in contrast to Hong Kong that currently tops the list of country/territory with the highest fuel cost of fuel per litre.
At 3.82 U.S. dollars per gallon in October 2022, regular all formulation retail gasoline prices in the United States were considerably lower than in Hong Kong or the Central African Republic, which reported the highest gasoline prices in the world at the end of October 2022. Norway also ranked high this year.
So, we get most of our fuel from Asia, with around a quarter of it coming from Singapore. The rest comes from South Korea, Malaysia, China, and a host of other nations including the US, Japan, and Thailand.
According to the Federal Chamber of Automotive Industries (FCAI), based on a like-for-like comparison conducted in 2014, “the vast majority of new cars are comparable or cheaper in Australia than overseas.”
Comparing Car Prices In Australia Vs USA
Cars in Australia sell at higher prices than in other countries such as the United States of America. This is true, especially for the most luxurious vehicles.
The ACCC monitors prices, costs and profits relating to the supply of petroleum products in Australia. This is part of a Ministerial direction to monitor for 3 years from 15 December 2022.
Most of Australia's oil is produced on the North West Shelf, some distance from domestic east coast refining capacity. In addition, domestically produced grades of crude oil are generally not suited for local refineries compared to other internationally sourced oil.
Diesel is traded internationally and the largest trading centre in our region is Singapore. This is the reason why Australian retail prices are linked to the Gasoil price of refined diesel in Singapore. Movements in the Gasoil price are influenced by the international price of the crude oil from which it is made.
Australia relies on imports - about 90 per cent - for the majority of its petrol supply. We do produce some crude oil domestically - about 350 barrels per day - however, the majority of this is exported.
Mixing the grades to get 91 or so shouldn't hurt, but it probably isn't saving you much money. Using anything higher than your manual recommends probably won't help your car's performance – but using lower might save you a few bucks, Leroux says. If you notice knocking, you should switch back.
Otherwise known as Ultra-Premium by some brands, 98 is the highest-octane fuel currently available in Australia. Unleaded 98 provides higher engine power and overall performance in comparison to 91 and 95. It is also responsible for less pollution, according to providers.
The answer is simple: they just have very loyal customers. To purchase their gas, you have to be a member, and membership sales make up about 75 percent of the chain's profit.
The most expensive capital cities to fill up, ranked: Hobart: 189.3 cents per litre.