ACCC Monitors Petrol Market Amid Middle East Tensions
The Australian Competition and Consumer Commission (ACCC) is closely monitoring petrol prices amid escalating tensions in the Middle East that impact global oil markets. The surge in international crude oil prices has significantly influenced retail petrol prices across Australia.
Impact of International Events on Petrol Prices
According to ACCC Commissioner Anna Brakey, fluctuations in the international price of refined petrol are a major factor affecting retail prices in Australia. She emphasized that retailers must avoid making misleading statements concerning price increases, as such actions violate the Australian Consumer Law. The ACCC is prepared to take firm actions against any company that engages in these deceptive practices.
Current Petrol Pricing Trends
The ACCC’s latest petrol monitoring report indicates mixed results for retail petrol prices. In the December quarter of 2025, average petrol prices in Australia’s five largest cities were recorded at:
- Sydney: 180.4 cents per litre (cpl)
- Melbourne: 180.4 cpl
- Brisbane: 180.4 cpl
- Adelaide: 180.4 cpl
- Perth: Stable at 180.4 cpl
This marks a slight increase of 1.6 cpl from the previous quarter. However, prices for the entire year of 2025 were generally lower compared to 2024.
Regional Price Variations
In addition to the major cities, petrol prices in Canberra, Hobart, and Darwin also saw increases in the December quarter 2025. On a broader scale, the average retail petrol price across over 190 monitored regional locations was 180.6 cpl, reflecting a 0.7 cpl increase from the previous quarter.
Contributors to Price Increases
The ACCC identified retail costs and margins as primary factors contributing to higher petrol prices. In the December quarter, the average gross indicative retail difference across the five largest cities increased to:
- 17.9 cpl (up by 1.5 cpl from the previous quarter)
This figure represents a slight rise compared to the ten-year real terms average, which stood at 16.3 cpl in 2025.
Geopolitical Influences and Market Reactions
The geopolitical climate continues to influence petroleum markets. Although crude oil prices generally trended downward during the December quarter, tensions in Venezuela and Iran led to short-term spikes in January 2026. Despite these fluctuations, petrol prices remained stable during early January 2026.
Diesel Prices on the Rise
Diesel prices also increased across all major capital cities in the December quarter. The average retail price of diesel was recorded at:
- 185.9 cpl (up 4.1 cpl from the previous quarter)
This marked a decline in average annual diesel prices for 2025, compared to 2024.
Electric Vehicle Market Growth
In an encouraging trend, electric vehicle sales achieved a record high in December 2025, accounting for nearly 17% of all new vehicle sales. Overall, electric vehicle sales in 2025 surged by 38% from the previous year, representing about 13% of total vehicle sales in Australia.
Future Monitoring by the ACCC
On December 10, 2025, the Treasurer directed the ACCC to continue monitoring the prices, costs, and profits within the petroleum industry for an additional five years, beginning January 1, 2026. The ACCC is mandated to provide quarterly reports on their findings.
The recent legal actions also underscore the importance of compliance in the fuel sector. In February 2026, Mobil Oil Australia was ordered to pay $16 million for making misleading claims regarding the fuel sold at several Queensland petrol stations.
As the ACCC continues its essential monitoring of the petrol market, consumers are encouraged to use fuel price apps to find the best prices available.
