Understanding Petrol Price Cycles: How to Save at the Pump

After hitting an 18-year low in April 2020 due to COVID-19, petrol prices have steadily climbed back to pre-pandemic levels as life returns to normal. But with rising fuel costs squeezing Australian budgets, now is the perfect time to understand petrol price cycles and how to take advantage of them.

What is the Petrol Price Cycle?

Petrol prices don’t just fluctuate randomly—they follow a predictable cycle. Prices gradually drop for a period before spiking sharply, then start falling again. This pattern, known as the petrol price cycle, is driven by the pricing strategies of fuel retailers competing for customers.

Why Do Petrol Prices Rise and Fall?

According to the Australian Competition and Consumer Commission (ACCC), petrol prices are influenced by:

🔹 International oil prices 🔹 The Australian dollar vs. the US dollar 🔹 Competition among local retailers 🔹 Wholesale and retail pricing strategies

Large chain petrol stations are usually the first to increase prices, as they often sell fuel below wholesale cost during low-price periods. When prices are too low to be sustainable, retailers push prices back up, and the cycle begins again.

Do All Fuel Types Follow the Same Cycle?

Yes—if you’re buying regular unleaded petrol (RULP), premium unleaded (PULP), or E10, the same price cycle applies. However, diesel and liquefied petroleum gas (LPG) don’t follow a cycle due to lower demand from private customers.

When is Petrol Most Expensive?

While many people believe public holidays and long weekends drive up petrol prices, this is a myth. The ACCC has found no evidence of increased prices on holidays—any price hikes simply align with the natural cycle.

However, each city’s cycle length varies:

🚗 Sydney, Melbourne, Brisbane, Adelaide: Cycles last 10-40 days ⛽ Perth: Has a unique six-day cycle, with Wednesday and Thursday being the most expensive days

When is the Best Day to Buy Petrol?

There’s no fixed best day to fill up, as cycles change monthly. The key is to monitor local petrol price trends and buy when prices are at their lowest point.

The only exception is Perth, where: ✔️ Tuesday is the cheapest day ✔️ Monday is the second-best option

How to Find the Cheapest Petrol in Your Area

Tracking price cycles manually can be tricky, but fuel comparison apps make it easier. Apps like Simples (available on Apple and Google Play) let you:

✅ Compare petrol prices across Australia ✅ Find the cheapest stations near you ✅ Avoid paying peak-cycle prices

Final Tips to Save on Fuel

💡 Monitor petrol price trends in your city ⛽ Fill up when prices hit the monthly low 📱 Use fuel comparison apps to find the best prices

As petrol prices continue to fluctuate, staying informed is the best way to keep your fuel costs in check. Start tracking price cycles today and save at the pump! 🚗💰

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