Australians are bracing for another wave of fuel price updates as September 2025 kicks in, and the adjustments are driven by rising crude costs, shifting exchange rates, and domestic excise changes.
This month’s rise in petrol and diesel rates has major implications on household budgets, freight costs, and the broader cost-of-living landscape.
Why Fuel Prices Are Rising This September
Several powerful factors are fueling this month’s increase:
- Global Oil Market Volatility – Disruptions in supply and geopolitical volatility have nudged international crude prices higher.
- Low AUD–USD Exchange Rate – A weaker Australian dollar pushes up the cost of imported fuel.
- Seasonal Demand Surge – Springtime travel spikes demand, keeping prices high.
- Refinery & Distribution Costs – Ongoing maintenance and logistical expenses are baked into retail fuel rates.
- Excise Adjustments – Fuel excise has increased after the CPI-based indexation earlier this August.
Updated Petrol & Diesel Prices Across Major Cities
Here’s the fresh data for September 2025 fuel prices across key Australian cities:
| City | Unleaded Petrol (cpl) | Diesel (cpl) | Change vs. August |
|---|---|---|---|
| Sydney | 192 cpl | 204 cpl | +7 cpl |
| Melbourne | 189 cpl | 201 cpl | +5 cpl |
| Brisbane | 195 cpl | 206 cpl | +8 cpl |
| Perth | 191 cpl | 202 cpl | +6 cpl |
(cpl = cents per litre)
Cities across the board are seeing noticeable increases, with diesel experiencing a sharper jump than petrol, reflecting international benchmark movements. Brisbane leads with the steepest rise in both fuel categories.
Key Trends in Fuel Costs This Month
- Petrol edging closer to record levels: Unleaded petrol nearing or exceeding $1.90 per litre, highlighting persistent upward pressure.
- Diesel rising at a faster pace: Average diesel rates climbed between 9 to 10 cents per litre, outpacing petrol increases.
- Brisbane topping the charts: With the largest fuel cost jump, motorists in Brisbane face the biggest impact.
- Perth remains relatively cheaper: Proximity to refining hubs continues to give Perth drivers a slight edge.
Effects on Households and Businesses
- Everyday Commuters: Expect higher weekly fuel bills due to those rate hikes.
- Logistics & Transport Services: Elevated diesel prices translate to higher freight and delivery costs.
- Small-Business Strain: Any operation with fleets or regular fuel use sees margins squeezed.
- Public Transport Fare Risks: Rising operating costs may eventually push up bus, taxi, or shuttle fares.
- Inflationary Pressure: Fuel costs are a key driver of broader inflation, affecting budgets and prices across the board.
Government Response & Relief Measures
Several policy actions are in motion to ease the burden:
- Fuel Excise Rebates: Temporary relief may be extended to priority sectors like agriculture.
- Electric Vehicle (EV) Incentives: Subsidies aim to steer consumers toward cleaner, cheaper alternatives.
- Fuel Monitoring Programs: Platforms like FuelCheck and FuelWatch allow real-time comparison of regional prices.
- Public Transport Support: Boosted subsidies help keep fares from spiking amid higher fuel costs.
Tips to Reduce Your Fuel Spend This September
- Use Fuel Price Apps: Track and opt for the cheapest local stations.
- Refuel Mid-Week: Avoid weekend surcharges—prices often dip mid-week.
- Loyalty Schemes Pay Off: Sign up for retailer loyalty programs for discounted fuel.
- Drive Economically: Gentle acceleration and proper tyre pressure can stretch each litre further.
- Consider EVs/Hybrids: Long-term savings kick in with electric or hybrid vehicle use, especially with government rebates.
September 2025 brings a clear reality: fuel prices are climbing, with diesel surging faster than petrol across Australia’s major cities.
Whether you’re a daily commuter, business owner, or logistics manager, these increases will be felt in your wallet. Yet, relief pathways exist—from government rebates and transport support to consumer tactics like using price apps and switching to electric vehicles.
FAQs
Unleaded petrol averages 192 cpl in Sydney, 189 in Melbourne, 195 in Brisbane, and 191 in Perth, with most cities seeing a 5–7 cpl increase from August.
Diesel jumped significantly—up 7 cpl in Sydney, 5 cpl in Melbourne, 8 cpl in Brisbane, and 6 cpl in Perth, marking steeper rises than petrol.
Utilize fuel price apps, refuel mid-week, join loyalty programs, drive efficiently, and explore EV or hybrid alternatives backed by government rebates.