State seeks fuel price lock
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The Victorian Government has announced a plan to cap petrol prices for 24 hours.
Premier Jacinta Allan says the “Fair Fuel Plan” aims to reduce financial pressure on families and increase transparency among service stations.
From later in 2025, over 1,500 Victorian fuel retailers will be required to report prices in real-time, locking them in for a full day.
This data will be accessible through the Service Victoria app, helping consumers compare and choose the best deals.
“To help you save money at the servo, we will require fuel companies to publicly report their price changes the day before - and lock them into that price for 24 hours,” Ms Allan said.
“We know this won’t change everything for families who are doing it tough, but these savings can add up to hundreds of dollars a year.”
The plan needs legislative approval and will be phased in by 2025, with further industry consultation to finalise enforcement and compliance mechanisms.
Fuel prices fluctuate frequently, often multiple times a day. A 2023 study by the Australian Competition and Consumer Commission found Melbourne motorists could have saved up to $333 annually by buying at the lowest price points.
In New South Wales, a similar app developed by the RACV and NRMA displayed real-time petrol prices but lacked the ability to freeze them.
A 2024 NRMA report showed NSW motorists were paying up to 60 cents more per litre at some outlets, costing drivers of Australia’s most popular car (a Toyota RAV4 Hybrid) up to $858 annually for weekly fill-ups.
The Fair Fuel Plan will also mitigate rising costs as the fuel excise increases from 49.6 cents to 50.6 cents per litre on 2 February 2025.
The announcement comes ahead of a critical by-election in Werribee on 8 February, where the cost of living is a significant issue.
Critics suggest the plan is politically timed, but the government frames it as part of its broader relief measures.
“We’re also keeping multinational fuel companies transparent about the prices they set and the deals they promote,” said Nick Staikos, Minister for Consumer Affairs.
As Victoria also phases out electric vehicle registration discounts by January 2026, the Fair Fuel Plan highlights ongoing complexities in managing transport costs.
