New real-time fuel price reporting scheme to save Tasmanian households and businesses money

New technology around fuel reporting will help ease “excessively high prices” as RACT modelling shows Tasmanians have spent $13.5 million more on fuel than they should have since March.

FUEL retailers in Tasmania will soon be forced to report their prices in real time in what is being hailed a major win for motorists and household budgets.

The State Government will introduce a scheme that requires retailers to update fuel prices as they occur, which it says will provide greater transparency and help push costs down.

A website and free mobile app are being developed, where Tasmanian drivers will be able to search for the cheapest fuel by location, price, fuel type or brand.

Attorney-General Elise Archer said global oil prices had fallen since the onset of the coronavirus pandemic, but unlike mainland states, Tasmania had not enjoyed major fuel price reductions at the bowser.

She said as a result, Tasmanian households and businesses had collectively paid millions of dollars extra for fuel than motorists in other states.

The scheme will be established through a Code of Practice and is expected to be enforced from July, with retailers threatened with penalties if they fail to provide accurate information.

Attorney-General Elise Archer speaks at the daily COVID-19 briefing on Tuesday 26th May 2020. Picture: LUKE BOWDEN

Ms Archer said if retailers continued to charge “excessively high prices” the government reserved its right to take further action, including legislating a cap on fuel prices.

The move has been welcomed by the state’s peak motoring body, who said it was a major win for Tasmanians.

“Real time fuel price reporting means Tasmanians can go online and find the best possible price in their area,’’ RACT Group chief executive Mark Mugnaioni said.

“This empowers consumers to find out where the cheapest fuel is before they even leave their driveway and helps put downward pressure on prices.”

Mr Mugnaioni said similar schemes in other Australian states were working and saving motorists money.

He said RACT modelling estimated Tasmanians had paid $13.5 million more for fuel since March than they should have.

Scott Thoars in Margate as the Tasmanian Government announces a new fuel price comparison app. Picture: RICHARD JUPE

Motorist Scott Thoars, of Taroona, said he was supportive of the scheme because he was always searching to find the cheapest fuel.

“It’s very frustrating. My brother is up in Sydney and he’s always telling me how much cheaper fuel is but we’re still paying top dollar down here,’’ the 32-year-old said.

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“If you look at it every week and you put that over the year, if you can find it for cheaper it will definitely be a good thing.”

Ms Archer said the government had been examining models in other states, including in NSW where an app had been downloaded by more than 600,000 motorists.

She said work on the scheme had been ongoing, but the impacts of COVID-19 on household budgets meant the timing to introduce it was ideal.

But Labor Consumer Affairs spokeswoman Jen Butler questioned why it had taken the state so long to introduce the scheme.

“Tasmanian motorists have been ripped off at the bowser for years,’’ she said.

“To wait until the state was in the grip of a financially crippling global pandemic before acting is unacceptable and Tasmanians deserve an explanation.”