Fuel slightly cheaper here

IF YOU count petrol prices in tenths of a cent, then Ipswich has another reason to boast over Toowoomba and Brisbane.

IF YOU count petrol prices in tenths of a cent, then Ipswich has another reason to boast over Toowoomba and Brisbane.

According to RACQ data, the average price of petrol in Ipswich this year was 151.2 cents per litre - two tenths of a cent less than Brisbane, and less than Toowoomba's average by three tenths of a cent.

But the RACQ believes prices across Queensland are too high, with Brisbane's average pump prices dropping below Ipswich's in the final months of the year.

RACQ spokesperson Renee Smith said Ipswich was part of the price cycle unique to the south-east corner.

"Ipswich motorists are urged to fill up at bottom of the price cycle when prices are cheapest," she said.

"Quite often, service stations on the Ipswich motorway have some of the cheapest fuel in the wider Brisbane area."

While prices are at their lowest point of the year with the average Ipswich price 127.5cpl Ms Smith said prices should be lower still.

"While this is very cheap - we'd like to see Ipswich prices fall even further, in line with the fall in the global oil price," she said.

She said retail margins across Queensland had increased as the oil price dropped.

Australasian Convenience and Petroleum Marketers Association chief Nic Moulis, who represents mid-sized service stations, said retail margins were dependent on the individual locations.

"Margins are difficult to establish as the price on the boards, we'd hope for all our members, reflects the individual circumstances of that operator," he said.

"Around 130c of the price is the cost of refined fuel and tax. Another around 16c would then be to operate the commercial site.

So that might mean an actual margin of just four to six cents."

Ms Smith said having an independent operator in the market could significantly drive down prices - an assertion Mr Moulis agreed with.

Originally published as Fuel slightly cheaper here