Australians Facing Financial Pressure from Rising Living Costs
With the cost of living at an all-time high, many Australians are feeling the pinch. New research highlights a simple yet effective way to save money on fuel, which could make a significant difference in everyday expenses.
According to a recent study by Compare the Market, 73% of Australians are financially stressed due to the rising cost of fuel. However, only 46% of drivers are considering switching to a cheaper fuel type to save money. The report suggests that making the switch to E10 fuel could save drivers around $620 annually.
How Much Can You Save by Switching to E10?
E10 fuel is a more affordable option compared to premium unleaded petrol. On average, the price difference between premium unleaded and E10 is about 24 cents per litre. This small difference can add up quickly. For example, filling a 50-litre tank with E10 instead of premium petrol would save around $12.
If drivers choose to fill up with E10 once a week for a year, they could save approximately $624. That’s enough to buy 312 cups of cheap $2 coffee or cover most, if not all, of annual car registration fees.
What Is E10 Petrol?
E10, also known as 94 unleaded, is an eco-friendly fuel blend. It consists of regular unleaded petrol mixed with 9 to 10% ethanol. According to the NSW government, E10 is safe and reliable, and it is compatible with most petrol-powered vehicles on the road today.
Is Cheaper E10 Fuel Safe for Your Vehicle?
Despite its lower price, E10 is often misunderstood. Chris Ford from Compare the Market explains that there is a stigma surrounding E10, but it is suitable for most modern engines. He emphasizes that the lower cost does not equate to lower quality or damage to engines.
“If your car can accept 91 unleaded and E10 fuel — usually indicated inside the fuel filler flap or vehicle specifications — there’s generally no need to spend more on premium petrol,” he said.
Most modern cars are compatible with E10, but some older models and high-performance vehicles may not be. Drivers with turbocharged engines or European models should follow their manufacturer’s recommendations. To check compatibility, motorists can use tools like those available on the NSW government website or refer to their car brand’s guidelines.
E10 and Fuel Efficiency
One thing to note is that E10 may result in slightly lower fuel efficiency compared to regular unleaded petrol. The NSW government states that E10 has about 3% less energy than RON 91 petrol. This can lead to an increase in fuel consumption of around 3%, similar to driving on underinflated tyres.
Other Factors Affecting Fuel Prices
Fuel prices have been stabilizing recently, thanks to the government’s decision to halve the fuel excise on petrol and diesel for three months. However, this measure is set to expire on June 30.
Chris Ford encourages drivers to shop around for the best prices, as there are significant variations between different petrol stations. Not all stations offer E10, so it’s important to check availability before heading to the pump.
Tips for Saving on Fuel
- Check Compatibility: Ensure your vehicle can use E10 fuel.
- Compare Prices: Look for the best deals at different petrol stations.
- Plan Ahead: Consider using E10 for regular trips to maximize savings.
- Stay Informed: Keep an eye on fuel price trends and government policies.
By making a few simple changes, Australian drivers can significantly reduce their fuel costs without compromising on performance or safety.
