How to Save Money on Petrol in Australia 2026 — 15 Proven Tips
15 practical ways to save money on petrol in Australia in 2026. From fuel price apps and loyalty cards to driving habits and the EV switch calculation.
How much are Australians spending on petrol in 2026?
The average Australian household spends between $3,000 and $5,500 per year on petrol, depending on how much they drive and what vehicle they own. With average unleaded petrol prices hovering between $1.65 and $1.95 per litre across capital cities in early 2026, filling a 60-litre tank costs $99–$117 each time. For a typical commuter driving 15,000 km per year in a mid-size car averaging 8 litres per 100 km, the annual fuel bill is approximately $2,400–$2,850. Larger SUVs and utes consuming 10–12 litres per 100 km push this to $3,000–$3,500. And for households with two cars, annual fuel costs can easily exceed $5,000. These costs have become one of the top three household budget concerns alongside mortgage repayments and groceries. The good news is there are concrete, practical steps you can take right now to reduce your fuel bill by 15–30% without changing your lifestyle dramatically. Below are 15 proven strategies, ranked roughly by how much they can save you. If you want to see how fuel costs fit into your overall budget, use our Take Home Pay Calculator to see how much of your salary goes to essentials after tax.
1. Use a petrol price comparison app — save up to 20c/litre
The single easiest way to save on petrol is to check prices before you fill up. Petrol prices in Australian cities follow a price cycle — prices gradually rise over 1–3 weeks, then drop sharply, then rise again. The difference between the top and bottom of the cycle can be 30–50 cents per litre. Apps like PetrolSpy, FuelMap, GasBuddy, and the NRMA/RACV/RACQ apps show real-time prices at every servo near you. State government apps are also available: NSW FuelCheck, QLD Fair Fuel, and the ACCC's Fuel Price Monitoring dashboard. Strategy: check the app before you drive to the servo. If prices are high (near the top of the cycle), only put in $20–$30 to get you through, then fill up when prices drop. If prices are near the bottom, fill the tank completely. This simple habit saves the average driver 10–20 cents per litre on most fills. On a 60-litre tank, that is $6–$12 per fill. Over 50 fills per year, you save $300–$600 annually for literally 30 seconds of checking your phone. Many apps also let you set price alerts that notify you when prices in your area drop below a threshold.
2. Stack fuel discount offers — save 10–16c/litre
Most major supermarket chains offer fuel discounts that can be stacked with other savings. Woolworths Everyday Rewards gives 4 cents per litre off at Caltex/Ampol when you spend $30 or more on groceries. Flybuys (Coles) offers 4 cents per litre off at Shell/Viva Energy with a $30 grocery spend. But the real savings come from stacking: use a credit card that offers additional fuel discounts or rewards points. The Ampol Best Fuel Card gives up to 6 cents per litre off at Ampol stations. The Shell Coles Express cards offer bonus flybuys points. Some credit cards (like the ANZ Rewards card) offer extra points on fuel purchases that equate to 2–4 cents per litre in value. By combining a supermarket fuel discount (4c/L) with a loyalty program bonus (2–4c/L) and shopping during the low point of the price cycle (10–20c/L cheaper), you can consistently save 16–28 cents per litre compared to someone who fills up at the first servo they see without any discounts. On 3,000 litres per year, that is $480–$840 saved.
3. Costco fuel — save 15–25c/litre if you live near one
If you live within reasonable driving distance of a Costco warehouse, their fuel stations consistently offer the cheapest petrol in the area — typically 15–25 cents per litre below the average price at surrounding servos. Costco achieves this by running fuel at near-cost as a loss leader to attract membership spending in the warehouse. You need a Costco membership ($65/year for Individual or $130/year for Business) to use the fuel station. At a 20c/litre saving on 3,000 litres per year, you save $600 — easily covering the membership cost with $535 left over. The catch is that Costco fuel stations can have long queues during peak times (weekend mornings, Friday afternoons), and there are only a limited number of locations across Australia. If you are already a Costco member for groceries, using their fuel is a no-brainer. If not, calculate whether the fuel savings alone justify the membership fee based on your annual consumption. For most drivers who live within 10–15 km of a Costco, the answer is yes.
4–6: Drive smoother, check tyre pressure, remove excess weight
Tips four through six are about how you drive and maintain your car, which collectively can improve fuel economy by 10–20%. Tip 4 — Drive smoother: aggressive acceleration and hard braking can increase fuel consumption by 15–30% compared to smooth, gradual speed changes. Use cruise control on highways where safe, anticipate traffic flow to avoid unnecessary braking, and accelerate gently from traffic lights. The RACQ estimates smooth driving saves the average driver $300–$600 per year. Tip 5 — Check tyre pressure monthly: under-inflated tyres increase rolling resistance, which increases fuel consumption by 2–4% for every 10% the tyres are below recommended pressure. Most cars have a tyre pressure label on the driver's door jamb. Check pressure when tyres are cold (before driving) and inflate to the recommended level — not the maximum stamped on the tyre. This takes 5 minutes at any servo with a free air pump and saves $50–$120 per year. Tip 6 — Remove unnecessary weight: every 50 kg of extra weight increases fuel consumption by approximately 1–2%. That toolbox in the boot, the roof rack you never use, the camping gear from last month — if you do not need it, take it out. Roof racks and roof boxes are particularly bad because they increase aerodynamic drag. Removing an unused roof rack can improve highway fuel economy by 5–8%, saving $100–$250 per year for regular highway drivers.
7–10: Plan trips, use air-con wisely, choose the right fuel grade, carpool
Tip 7 — Combine trips and plan routes: cold engines use significantly more fuel for the first few kilometres. By combining multiple errands into one trip and planning an efficient route, you reduce cold-start fuel waste and total kilometres driven. Google Maps and Apple Maps both offer multi-stop route planning. Saving even 20 km per week equals 1,040 km per year — approximately $130–$170 in fuel at average consumption rates. Tip 8 — Use air conditioning wisely: air conditioning increases fuel consumption by 5–10% in city driving. Below 80 km/h, opening windows is more fuel-efficient. Above 80 km/h, the aerodynamic drag from open windows exceeds the air-con penalty, so use air-con on highways. Set the temperature a degree or two higher than you normally would — you might not notice the comfort difference, but your engine will. Tip 9 — Use the correct fuel grade: premium fuel (95 or 98 octane) costs 15–30 cents per litre more than regular 91. If your car's manual specifies 91 octane, using premium provides zero benefit — you are wasting money. Only use premium if your car requires it. Check the fuel flap or owner's manual. Tip 10 — Carpool or share rides: if you commute to the same workplace as a colleague or neighbour, sharing rides halves your fuel cost. Even carpooling 2–3 days per week saves 40–60% of your weekly fuel bill. Apps like Coseats and RideShare help connect commuters on similar routes.
11–13: Consider a hybrid, use public transport strategically, work from home
Tip 11 — Consider a hybrid for your next car: if you are not ready for a full EV, a hybrid can halve your fuel consumption without any change to your driving habits or charging infrastructure. A Toyota Corolla Hybrid uses approximately 4.2 litres per 100 km versus 6.8 litres for the petrol version — saving approximately $650 per year at current fuel prices on 15,000 km per year. A RAV4 Hybrid uses 4.8 L/100km versus 7.8 L/100km for petrol, saving approximately $750 per year. Hybrids require no plugging in, no charging infrastructure, and have proven reliability over millions of units worldwide. Tip 12 — Use public transport for some trips: even if you cannot give up your car entirely, using public transport for your commute 2–3 days per week can save significant fuel. A daily 40 km round-trip commute at 8 L/100km costs approximately $6.40 per day in fuel. An Opal card fare in Sydney is $4–$8, a Myki fare in Melbourne is $5–$10. If public transport costs less than driving (plus parking), the savings add up — $500–$1,500 per year for 2–3 days per week. Tip 13 — Negotiate work-from-home days: if your job allows it, even one day per week working from home eliminates 20% of your commuting fuel costs. Two days per week saves 40%. For someone spending $50/week on commuting fuel, working from home two days saves $2,000 per year.
14–15: Switch to an EV, and calculate the total comparison
Tip 14 — Switch to an electric vehicle and eliminate petrol entirely: the ultimate way to save on petrol is to stop using it. An EV charged at home on a standard electricity tariff of 30 cents per kWh costs approximately $6–$8 per 100 km — compared to $13–$19 per 100 km for a petrol car at current fuel prices. On 15,000 km per year, that is $900–$1,200 in electricity versus $1,950–$2,850 in petrol — a saving of $1,050–$1,650 per year on energy costs alone. Add in lower servicing costs (no oil changes, less brake wear, fewer moving parts — EVs cost approximately $300–$500 per year to service versus $700–$1,200 for petrol cars) and you save $1,450–$2,350 annually on running costs. And if you get the EV on a novated lease with the FBT exemption, you add another $3,000–$6,000 per year in tax savings on top. Tip 15 — Do the full comparison before deciding: use our Take Home Pay Calculator to model your salary after novated lease deductions, our Tax Calculator to see your marginal rate, and compare total cost of ownership between your current petrol car and an EV. Factor in purchase price (or lease cost), fuel/charging, servicing, insurance, registration, and depreciation. For most Australians driving 12,000+ km per year, an EV is now cheaper to own over 5 years than an equivalent petrol car — even before the novated lease tax savings.
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General information and estimates only — not financial, tax, or legal advice. Always verify with a licensed adviser or the ATO.
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