The real-time fuel pricing diaries
RAA’s persistent lobbying for real-time fuel pricing paid off in 2020, with the State Government announcing it would implement a two-year trial of the scheme.
Real-time fuel pricing requires retailers to report their prices to the State Government within 30 minutes of changing them.
Prices are then made available to the public through an app or website to help motorists find the cheapest place to fuel up. That’s where RAA comes in. In March, we launched a fuel pricing feature on the myRAA app and RAA website to help motorists save money.
The app
The real-time fuel pricing feature is available to all South Australians and includes up-to-date fuel prices from every retailer across the state. You can access it via the myRAA app or here.
The feature helps you find the cheapest fuel near you using an interactive map or list. You can search for fuel retailers close to your location and sort them by price or distance.
The fuel cycle
You’ve probably noticed that one day petrol prices are closer to a $1.20 per litre and the next they’re pushing $1.70 per litre. The retail-petrol prices in Adelaide move in cycles through troughs and peaks.
Prices steadily go down over a period, followed by a sharp increase. “But why?” you ask.
RAA Future Mobility Expert Mark Borlace says the fuel cycle is due to the competition between fuel retailers in Adelaide.
“Major fuel retailers play a game of fuel discount leapfrog where they seek to undercut the price of their competitors, slowly reducing the cost at the bowser,” Mr Borlace says.
This can result in prices dropping so low they’re below the published wholesale price.
“Eventually, the major retailers in the market reach a point where they can no longer afford to participate and increase their prices significantly, with other sellers following suit.”
The trial
In March, when RAA launched its real-time fuel pricing feature on the myRAA app, four employees agreed to take part in a trial to see
how much they could save over a six-month period. All participants had to use the myRAA app to locate the cheapest prices in their area,
but they were able to shop at any retail outlet and weren’t restricted to a single type of fuel.
The participants
Libby Kokkinoplitis
Car type: Kia Seltos
Daily commute distance: 7km
Fuel type: Unleaded 91
Total savings: $39.70*
Fuel stops: 11
Total spent on petrol: $534.40
Tell us a bit about yourself and your driving habits.
During the week I drive to various places in metropolitan Adelaide for work. I have a teenage son who I take to school and soccer training three times per week plus a game on the weekend. I also regularly drive to my parents’ house 7km from home.
Did you save as much as you thought you would?
I was surprised by how much I saved. I always try to shop around for the cheapest petrol, but I wasn’t aware of the fuel-price cycle before the trial. Knowing when it was a good time to fill up, helped me to save money.
When you saw cheaper prices on the app, did it convince you to shop around and drive a little bit further for fuel?
Yes. I was running low on fuel one day and I used the myRAA app to find cheaper fuel. I noticed my usual local independent petrol station was six cents more than another independent 6km away, so I drove there to get cheaper fuel.
How has this trial changed your fuel-purchasing habits?
I’m now much more aware of fuel-price cycles and when it’s the best time to fill up. I also now know which petrol stations have the cheapest fuel in the areas I visit.
Samuel Woghiren
Car type: Mazda CX-3
Commute distance: 2.5km
Fuel type: Unleaded 91
Total savings: $38.68*
Fuel stops: 11
Total spent on petrol: $514.88
Tell us a bit about yourself and your driving habits.
I own a car and occasionally share it with my sister. While I have public transport options within my area, I rely heavily on my car and use it daily. I do most of my driving on the weekend. During the week I usually only drive to work and the gym.
What features of the myRAA app did you find most useful when looking for cheap fuel?
I like the notifications I receive when it’s cheap to fill up. It reminds me I only have a few days to top or fill up before the next price spike – it couldn’t be any easier.
Did you save as much as you thought you would?
I was pleasantly surprised to see how much I saved. I’ve always been conscious of how much I spend on petrol but was happy to see that just a few cents adds up to being about two free tanks of fuel a year.
How has this trial changed your fuel-purchasing habits?
Using the myRAA app to check petrol prices is now second nature, like using my banking app to transfer money. After seeing how much I saved in six months, I’d be silly not to keep using the app.