Petrol adding to household cost burden

The cost of living is rising, and it’s not just because avocados are expensive: fuelling your car is getting pricier, too.

It’s not just you: costs are rising, and chances are getting around the day to day is affecting your budget as well.

That’s the news coming in from the Australian Automobile Association (AAA), which has taken a look at the rise of transport costs over the past year in its quarterly Transport Affordability Index, revealing that the average Australian metropolitan household is spending $736 more on transport compared with a year ago, with the cost rising $172 from the prior quarter.

In the space of a year, that’s a cost difference of $17,485 to $18,221, though it’s an average that changes based on where you live.

If you live in Sydney, the AAA reports that you’re spending closer to $432 per week or around $22,445 per year, while Hobart sits at the lowest rate, managing $301 per week or $15,625 per year. Regional Australia is spending much less than every Australian capital city, with an average of $14,633 spent yearly on transport in regional Australia.

Some of the key points from these raises have come from where payments have risen, including a continued increase in fuel prices, insurance premiums rising, car loan payments going up, and a higher cost on tolls, not to mention roadside assistance costs. Even public transport has been hit with rising costs, occurring in Sydney, Adelaide, and Perth.

There have been some improvements, with cost falls in Sydney due to the NSW Toll Relief Scheme, which affected the cost of Compulsory Third Party Insurance, driver’s license fees, and vehicle registration. However while the cost has dropped in Australia’s largest city, it’s still fairly high, just behind Canberra and Perth for vehicle registration.

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