Smart ways to beat rising fuel prices and supply shortages

If you topped up your tank this week, chances are you did a double-take at the cost. But relief may be in sight, and the answer to surging fuel costs may not lie in hoarding fuel at home.  

Operation Epic Fury is turning out to be an epic pain in the hip pocket for Aussie motorists.

Since February 29, when the US ordered strikes on Iran, the price of Brent Crude oil (the global benchmark) has skyrocketed from $US73.3 per barrel to $US99.5 per barrel by March 9.

That's a thumping 35.7% increase in a little over a week.

On the plus side, the price of Brent Crude softened a little on March 10, dipping to $US93.7 a barrel after US President Trump predicted a de-escalation of hostilities in Iran.

Even so, AMP Capital's Shane Oliver says that in Australia, each $US1 per barrel rise in oil prices adds around a cent a litre to petrol prices.

Put simply, if oil is priced at $US100 per barrel, motorists can expect to pay up to 40-50 cents more per litre.

Already we've seen this happening.

In NSW, Fuel Check says regular unleaded (91) jumped from $1.79 c/L on February 28 to $2.10 c/L on 10 March though some servos are charging $2.79 c/L.

With households feeling the squeeze, both the NRMA and Queensland's RACQ are urging the ACCC to take action against service stations that are taking advantage of the turmoil by price gouging.

In the meantime, here are seven dos - and don'ts - to reduce hip pocket pain at the bowser:

1. Check your car

Stale fuel can have modern cars running like a lawnmower. If your car has been sitting for a while, consider topping up with a fresh batch of fuel.

Also, make sure your car is up to date on servicing to be sure it's running at peak efficiency.

2. Pump up your tyres

Under-inflated tyres have more rolling resistance, meaning the engine has to work harder to get the car moving.

Make sure tyres are up to at least the minimum recommended for your car (check the placard, which is usually inside one of the door jambs or inside the fuel filler flap). If in doubt, head to your nearest reputable tyre dealer for a check-up.

While you're at it, get a wheel alignment. Having wheels pointing in every direction is no good for tyre wear, and even worse for fuel economy.

3. Slow down

Aerodynamic drag doesn't have much influence on a car around town, but it sure does on a freeway. Double your speed from 50 to 100km/h and you'll have four times the aero drag.

On a 110km/h freeway backing off to 100km/h can see your car sip rather than slurp through fuel.

4. Look ahead

Looking ahead and anticipating traffic flow is arguably the best way you'll save fuel. Unless you're driving a hybrid or electric car (which have regenerative brakes to recapture energy) you'll be creating heat through friction every time you touch the brakes.

The energy used to accelerate dissipates as heat, and you have to burn more fuel to get things going when the lights go green. By lifting off the throttle that little earlier and letting the car coast rather than braking suddenly you'll save plenty of fuel.

5. Check the prices

Right now, fuel prices can change by the hour, and from servo to servo. A fuel price app such as Petrol Spy, Fuel Check and My NRMA can help you plan ahead and snare fuel discounts.

6. Think carefully about stockpiling fuel at home

You may have come across reports that Aussies are hitting up Bunnings and other hardware stores in the hunt for jerry cans to stock up on fuel.

It's reminiscent of the COVID-era rush on toilet paper.

Except that toilet paper doesn't have the potential to blow up your home.

Compare the Market cautions that fuel can be volatile if stored incorrectly. Plastic containers that aren't designed to hold petrol can easily build up static, which could ignite stored petrol.

If you must keep extra petrol at home, make sure the container is specifically designed for fuel, and keep it in a well-ventilated area.

Be sure to check your home insurance too. You may not be covered for damage to your own home - or your neighbours' properties - that's caused by storing petrol at home.

Besides, if the price of crude oil continues to fall, stockpiling fuel at today's prices could see you left substantially out of pocket.

7. Max the value of loyalty discounts

Now's the time to be selective about where you buy fuel.

As a guide, score discounts of up to four cents per litre at EG Ampol outlets if you are a Woolworths Everyday Rewards member.

Coles Flybuys members can save up to four cents per litre every time you fill up at Shell Reddy Express.

Check the possible savings of any rewards scheme you're a member of.

Get stories like this in our newsletters.