For the third year in a row, Brisbane drivers are feeling the pinch at the pump more than anyone else in Australia's capital cities. But here's where it gets controversial: is this a fair reflection of market forces, or is something else at play? Let's dive into the numbers and uncover the surprising truths behind Brisbane's fuel price saga.
The RACQ, Queensland's leading motoring organization, has just dropped its annual report, and the results are eye-opening. In 2025, Brisbane once again claimed the title of the most expensive capital city for unleaded fuel, with an average price of 185.2 cents per litre (cpl). To put that into perspective, Adelaide, the most affordable city over the past three years, saw drivers paying just 173.8 cpl on average. That's a difference of over 11 cents per litre—a gap that adds up quickly for regular commuters.
And this is the part most people miss: while Brisbane's fuel prices are undeniably high, they did drop by 9.3 cpl from the record highs of 2024. But don’t celebrate just yet—the city still holds the dubious honor of having the second-highest diesel prices in the country, averaging 189.6 cpl, though this is a slight improvement from 2024's 193.6 cpl.
So, where can Brisbane drivers catch a break? The report breaks it down by suburb. Kuraby, in the city's southside, emerged as the cheapest place to fill up in 2025, with an average price of 162.8 cpl. On the flip side, Clayfield, just a 25-minute drive away, recorded the highest average at a staggering 200 cpl. Here’s the kicker: by simply shopping around, motorists could save nearly 40 cpl—a significant amount for anyone filling up regularly.
But why is Brisbane so expensive? According to RACQ's principal economic and affordability specialist, Dr. Ian Jeffreys, it boils down to a few key factors. Brisbane's price cycles are longer and more volatile, with steeper jumps and shorter cheap phases. In contrast, cities like Adelaide experience shorter, flatter price cycles. Another issue? Brisbane has fewer independent service stations compared to other capitals. Dr. Jeffreys explains, 'In Brisbane, only about 20% of the market is made up of small chains or independents, whereas other capitals have a much higher proportion of these sites.' It’s these smaller chains that often offer lower prices, and some in Brisbane are starting to break the cycle by keeping prices consistently low.
However, the development of new independent sites in Brisbane is slow. 'It’s an expensive and time-consuming process to establish a new petrol station,' Dr. Jeffreys notes. 'We’re not seeing enough of these sites come online quickly enough to make a significant difference to the average price.'
Here’s where the debate heats up: Following the report, RACQ has called for government intervention to regulate the market and prevent unfair price hikes. 'The current market isn’t working in the best interests of motorists,' Dr. Jeffreys argues. 'We’re in discussions with the Queensland government to explore potential solutions, including regulatory measures.'
But is government intervention the answer, or could it lead to unintended consequences? What do you think? Should the government step in to regulate fuel prices, or should the market be left to self-correct? Let us know your thoughts in the comments below. Brisbane's fuel price saga is far from over, and your voice could be part of the solution.
