How to save 10c/L on fuel

Written By Unknown on Selasa, 02 Desember 2014 | 22.54

Cost of Living Editor John Rolfe explains how changing the way he purchases fuel has delivered significant savings.

The consumer watchdog believes it can save motorists 10c a litre on fuel with a new tool. Picture: Supplied. Source: WeeklyTimesNow

THE consumer watchdog believes it can save motorists 10c a litre on fuel with a new tool that advises drivers on when to fill up.

From today people in Sydney, Melbourne, Brisbane, Adelaide and Perth will be able to use the Australian Competition and Consumer Commission website to work out whether it is a good time to refuel. Under pressure from the Federal Government to lift its game on petrol, this is the first time the ACCC has provided buying advice.

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People in Sydney, Melbourne, Brisbane, Adelaide and Perth will now be able to use the ACC website to work out whether it is a good time to refuel. Picture: Supplied. Source: News Limited

"We are trying to be more helpful," chairman Rod Sims told News Corp Australia.

The tool's launch is timely, with drivers currently paying as much as 10c/L more than they should because sharp recent falls in the wholesale price of fuel have not been passed on.

For each of the mainland state capitals, ACCC analysts will, wherever possible, recommend whether to purchase or postpone a pit stop. This should allow motorists to buy closer to the low point of the fuel "cycle". The price difference between the high and low of a cycle can be as much as 20c/L.

"So even if you get it half right and save yourself 10c/L, that's an enormous amount," Mr Sims said.

ACCC analysts will, wherever possible, recommend whether to purchase or postpone a pit stop. This should allow motorists to buy closer to the low point of the fuel "cycle". Picture: Roy VanDerVegt Source: News Corp Australia

The ACCC is not saying where the cheapest petrol is. It is too difficult to do accurately, Mr Sims said, and the difference between stations on a given day is typically only 2c/L.

The commission is not the first to provide advice on when to buy. Motoring groups like Motormouth, which is run by Informed Sources, already do so.

The ACCC and Informed Sources are currently facing off in the Federal Court. The Commission alleges Informed Sources and major petrol retailers have been sharing pricing information in a way that "substantially lessens competition".

Prior to the legal action, the ACCC was buying pricing data from Informed Sources. The commission's new refuelling tool is powered by figures from Fueltrac (correct), which, unlike Informed Sources, does not receive data direct from petrol retailers. Fueltrac gets its figures mainly from sales recorded on fleet companies' petrol-purchasing cards.

The ACCC is not saying however where the cheapest petrol is as it is too difficult to do accurately. Picture: Supplied. Source: Supplied

The new ACCC service is not akin to Western Australia's FuelWatch, which former Labor prime minister Kevin Rudd vowed to introduce nationally but did not. FuelWatch "locks in" retail prices for 24 hours and says which service stations have the cheapest petrol.

The ACCC is not regulating charges at the pump. And its tool only covers mainland state capitals because there is no price cycle outside these locations, Mr Sims said.

Mr Sims said the ACCC was "monitoring" trends in bowser prices since the dramatic decline in the price of wholesale fuel, particularly in rural areas.

"All we can do is comment on it to put pressure on," Mr Sims said. "We have no ability to control petrol prices."


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