FUEL prices have again come under the spotlight as residents in the Whitsundays ask questions about disparities between pump prices both state and nationwide.
FUEL prices have again come under the spotlight as residents in the Whitsundays ask questions about disparities between pump prices both state and nationwide.

Fuel prices questioned

FUEL prices have once again come under the spotlight as residents in regional communities like the Whitsundays ask questions about disparities between pump prices both state and nationwide.

Cannonvale resident Billy Martin returned from a recent visit to Melbourne where unleaded petrol was closer to the $1.20 per litre mark, while here he consistently pays more than $1.40.

Mr Martin had one burning question - "why?"

"I just want to ask the question and maybe get a better understanding of why the fuel prices here are constantly closer to that $1.40 mark. Is it due to transport costs or are we simply used to paying those prices and just none the wiser," he said.

According to consumer price watchdog the ACCC, our distance from Brisbane has little bearing on the cost. An ACCC spokesperson said regional Queenslanders often paid more at the petrol pump due to "higher levels of competition" and a higher demand for fuel in metropolitan areas.

"Larger capital city fuel markets tend to have higher levels of competition and sell larger volumes of fuel, which regularly result in lower prices than in smaller markets such as those in North Queensland," the spokesperson said.

Meanwhile the RACQ monthly fuel price report for June indicates further disparity between Queensland and southern states, despite an 18 month low in the price of Tapis crude oil.

The regional outlook however is not so bleak, with the average price of petrol expected to drop over the coming weeks.


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