The average retail price of diesel in Australia’s five largest cities has fallen below the average retail price of petrol for the first time since January 2022, according to the latest Australian Competition & Consumer Commission (ACCC) monitoring report.
In June this year the average retail diesel price in Melbourne, Sydney, Brisbane, Adelaide and Perth was 181.2 cents per litre (cpl), compared to the average retail petrol price of 183.7 cpl.
“The decline in diesel prices in the June quarter will have brought welcome relief to industry and owners of diesel vehicles,” said ACCC commissioner Anna Brakey.
These latest results from the ACCC mirror similar findings published by the Australian Institute of Petroleum (AIP).
Although the average retail diesel price fell below the average retail petrol price in June this year, the second quarter averages still show petrol is incrementally more affordable.
The quarterly average retail diesel price in Melbourne, Sydney, Brisbane, Adelaide and Perth dropped by 13.1 cents per litre (cpl) from the first quarter of 2023, to 186.6 cpl.
The quarterly average retail petrol price in the same five Australian cities, on the other hand, had a marginal increase of 0.7 cpl from the first quarter of 2023, to 182.9 cpl.
The ACCC notes following the Russian invasion of Ukraine the benchmark price for refined diesel (Singapore Gasoil 10ppm) rose significantly above the benchmark for refined petrol (Mogas 95), as global supply of refined diesel decreased.
“In the June quarter a number of international factors influenced the fall in diesel prices including further exports of diesel and gasoil from Russia despite sanctions, a decline in North American and European consumption, and an unexpected build-up in diesel inventories,” said Ms Brakey.
“Retail diesel and petrol prices have trended higher in July and August, following increases in international crude oil and refined diesel and petrol benchmark prices, and a weaker AUD-USD exchange rate.”