Why Brisbane drivers are being slugged $445 to get around

Brisbane families are spending a massive proportion of their income on transport costs despite the introduction of the government’s fuel excise cut, new figures show.

BRISBANE households are paying an average of $445.69 per week just to get around, $77 more than the national average, new figures show.

The quarterly Transport Affordability Index from the Australian Automobile Association (AAA) shows Brisbane households are spending some 17 per cent of their income on transport – a higher proportion than families in any other capital except for Hobart.

While Brisbane motorists are paying some $9 less per week on overall transport costs per week than we were in the last quarter of 2021, they are paying an extra $10 per week at the petrol pump, and $53 per week on road tolls.

The cost of fuel has shot up to $94.80 per week, despite the temporary halving of the federal government’s fuel excise, although average weekly car loan repayments have dropped by $20.65 over the past year – driven by a trend towards cheaper vehicles.

RACQ Head of Public Policy, Susan Furze. Picture: Jerad Williams

RACQ Head of Public Policy Susan Furze said the record high fuel prices had “greatly added to cost of living pressures faced by Queenslanders”.

“RACQ research shows convenience is the main reason drivers pull into a particular service station. However, there can be up to 40 cents difference between the cheapest and most expensive sites, which is why it’s so important to use apps such as RACQ’s Fair Fuel Finder to do your research before heading to the bowser,” Ms Furze said.

AAA Managing Director Michael Bradley said the temporary halving of the fuel excise “doesn’t address long term motoring tax issues and means $3.3 billion of foregone revenue is no longer available to be spent on vital safety upgrades of our transport network”.

“The fact is given we live in an era of rapid electrification and fuel efficiency gains means fuel excise is an unfair and unsustainable tax,” he said.

The AAA is calling for the major parties to outline plans for motoring tax reform, arguing the fuel excise was not fit for the 21st century.

“The AAA is far from the only observer to note it is no longer fair or sustainable to have Australia’s notional ‘road user charge’ based on the consumption of petrol and diesel,” Mr Bradley said.

AAA Managing Director Michael Bradley.

Savvy CEO Bill Tsouvalas.

Analysis by the Grattan Institute showed the halving of the fuel excise – which is due to end in September – benefited high income households the most. High income households would benefit by $1.3 billion, while low-income households would only benefit by $0.75 billion, according to the Grattan analysis.

A new survey of 1005 Australians by the market insights company Savvy found fuel was the primary cost-of-living issue for nearly two in three respondents (64 per cent) – beating out concern about the cost of food, utilities, rent and mortgage payments. Just over half the survey respondents said they would drive less because of the cost of petrol, while 30 per cent said they would just absorb the increase.

Savvy CEO Bill Tsouvalas said rising fuel price rises would disproportionately disadvantage blue collar workers.

“Tradespeople and those who work outdoors are reliant on their ute or car to turn a profit or make their weekly wages,” Mr Tsouvalas said. “This will just add to the woes of the working class who are already feeling the brunt of rising grocery costs. The survey says that thirty per cent of respondents said they’ll just ‘absorb’ the increase. Tradespeople do not have that luxury.”

Originally published as Why Brisbane drivers are being slugged $445 to get around