Petrol prices: Yamanto service station selling fuel for 99c for Christmas

As petrol prices plummet around the state, a southeast Queensland service station is taking things one step further for Christmas.

CHEAP: Liberty Yamanto manager Shay Elman is selling fuel for less than a dollar a litre this Christmas.

FUEL selling at '90s prices is expected to trigger snaking queues of vehicles on the Cunningham Highway this evening.

From this afternoon until 11.59pm on Christmas, E10 fuel will be pumped at 99c at Liberty service station, Yamanto.

Station manager Shay Elman has given the rare warning of the cheap fuel; a price drivers have not regularly seen since the late '90s.

He said the cheap petrol was a gesture to Ipswich drivers for supporting the station.

"It's all about trying to give back to the people of Ipswich for the support they've given me," he said.

"It's at this time of the year where people are spending lots of money and we wanted to do something to make it a bit easier for them.

"We have been here for 18 years and we wanted to thank our customers for supporting us."

Liberty at Yamanto regularly offers cheap fuel to drivers, but it is unusual to get prior warning.

The RACQ predicts drivers will enjoy cheap fuel for Christmas, with petrol prices expected to hit the bottom of the cycle in the coming days.

"We're currently in the discounting phase of the petrol price cycle so we're seeing an increasing number of retailers drop their prices - but what's really encouraging is we think it's going to get even cheaper," spokeswoman Lucinda Ross said.

Diesel drivers had also recently benefited from cheaper prices at the pump, with the commodity dropping, on average, almost 22c since October.

"Diesel doesn't operate on a price cycle, so any changes are generally only gradual and over time," Ms Ross said.

"The average price in Brisbane is sitting around 144c/L and while it's a lot cheaper than what it was a couple of months ago, there are still some retailers charging above what we believe is fair.

"But as a gift for diesel drivers, we're not expecting to see prices increase over Christmas."

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