Getting out on the road this summer? When do you fill up? The petrol cycle can be a fickle beast, especially seeing prices fluctuate in different parts of each state and territory. You might fill up for an expensive amount in the city and then drive a few hours out only to find it’s nearly 20 cents a litre cheaper.
The National Roads and Motorists’ Association (NRMA) understands this, and helps people keep watch over the petrol cycle so they can make the most of the market. If you’ve bought a vehicle through a novated lease and are taking it on our highways this summer, petrol prices are well worth keeping an eye on.
Finding the bottom of the cycle
In a December 7 media release, the NRMA suggested that motorists in Sydney fill up as soon as they could, as prices were hitting the low point in their cycle. This meant the following average prices could be found in the city:
- 113.5 cents per litre for regular petrol
- 111.3 cents per litre for E10
- 126.5 cents per litre for Premium 95
- 131.7 cents per litre for Premium 98
- 120.8 cents per litre for diesel
- 62.8 cents per litre for LPG
The NRMA suggested that motorists in Sydney fill up as soon as they could.
Of course, these were the averages, and give you just a rough idea of how much petrol will be at the bottom of the cycle. The lowest petrol price recorded by the NRMA was 105.9 cents, while the highest was 135.7 cents However, this was at the beginning of December, and the cycle will have moved past this. The body expects prices to peak just before Christmas, before moving towards the next low point as we get closer to New Year’s Eve.
So, anyone heading on a road trip after Christmas may want to hold off on filling up until that pre-NYE drop!
Overarching trends are positive
Of course, these figures are specific to Sydney and a particular point in the fuel cycle – what about more generally? The Australian Bureau of Statistics’ (ABS) Consumer Price Index records how much the general costs of living change each quarter or so, and fuel costs are an important part of this.
The most recent release came on October 28, and it oversaw the September quarter. Over those three months the transport group, which includes fuel, rose by 0.1 per cent – but there were increases and decreases within this:
- “Other services in respect of motor vehicles” rose by 1.7 per cent
- Vehicles themselves rose by 1.1 per cent
- Automotive fuel dropped by 1.7 per cent
So while certain prices rose, in general fuel costs are trending downwards. After increases in May and June, this metric dropped in July, August and September. It’s a good sign that petrol costs aren’t spiking out of control, and hopefully suggests a steady fuel market as we head into 2016.
In fact, the ABS pointed out that in the 12 months to September 2015, the automotive fuel price index fell by an incredible 9.8 per cent! Even though repairs and services costs went up, this is still a big positive for anyone who’s taken on a vehicle in recent times.
Hit the road, Jack
Buying a car is all about getting something that meets your requirements without breaking the bank. Here at Alliance Leasing, we help people purchase their dream car through a novated lease. It’s a simple process, and one that we help you with every step of the way. Our consultants aid employers and employees alike find cars that run with the appropriate costs – and that includes the type of fuel a car runs on and a discounted fuel card!
If you want to find out more about our process, don’t hesitate to get in touch!