Australia has taken a significant step forward by upgrading the quality of petrol sold across the nation, and this change comes at a minimal cost to drivers.
As of December 15, fuel stations in Australia are mandated to provide petrol with a maximum sulphur content of just 10 parts per million (ppm). This marks a major improvement from the previous limits of 150ppm for standard 91-octane unleaded petrol and 50ppm for both 95- and 98-octane premium fuels. Now, Australian petrol standards align more closely with those found in many developed countries like Europe, the United States, China, and New Zealand.
Interestingly, some developing countries in South America and Northern Africa also have sulphur limits similar to the old Australian standards.
For motorists, this transition requires no adjustments; the new cleaner petrol will function seamlessly in all existing vehicles. In fact, it could lead to slightly reduced emissions, benefiting the environment without altering the way drivers fill up their tanks.
This update in fuel quality coincides with the implementation of stricter tailpipe emission regulations for new vehicles, known as Euro 6d. These regulations necessitate cleaner engines, and consequently, cleaner fuels are essential to meet these environmental standards.
Fortunately for consumers, any slight increase in petrol prices due to these new regulations is expected to blend into the usual pricing fluctuations seen at the pump. According to NRMA spokesperson Peter Khoury, even if there is a minor impact from the updated fuel standards, it would likely go unnoticed by drivers filling up their tanks. He elaborates that in major Australian cities, petrol prices can vary by as much as 30 to 40 cents per litre, depending on local market cycles, which complicates any potential increases caused by the new regulations.
As per data released by the Australian Institute of Petroleum, the average price for regular unleaded petrol in Australia fluctuated between approximately $1.70 and $1.90 per litre throughout 2025. This is a slight decrease compared to the range of $1.70 to $2.15 seen in 2024.
In addition to the sulphur limits, there are now new restrictions on aromatic hydrocarbons for 95-octane petrol, capping them at a maximum of 35 percent. This move is aimed at preventing potential "operability issues" that can occur when these hydrocarbons reach excessive levels. However, the standards for 91- and 98-octane fuels remain unchanged at 45 percent.
It’s important to note that these new regulations are applicable to all petrol sold from December 15, 2025. This means that any remaining stocks of petrol with the older, higher sulphur limits will no longer be available for sale.
The Federal Government has projected a price increase of between 0.6 to 1.0 cents per litre due to the lower sulphur content, along with an additional rise of 0.9 cents per litre for the stricter aromatic hydrocarbon limits in 95-octane petrol. For instance, a petrol-powered vehicle that consumes 8.0 liters per 100 kilometers using 95-octane fuel and driven for 15,000 kilometers annually would incur an extra cost of about $22.80 per year—this translates to an increase equivalent to purchasing an additional 12.7 liters of fuel at a rate of $1.80 per liter. However, such additional costs are not likely to be noticeable, given the ongoing fluctuations in fuel prices.
Originally, these lower sulphur limits were set to take effect in 2027, but following the election of the current Federal Government in 2022, they were expedited to 2024. Subsequently, they were postponed to December 2025 to align with the introduction of Euro 6d emissions standards, which impose strict limits on the number of particles that petrol vehicles can emit.
European car manufacturers will particularly welcome these cleaner fuel standards. Many of these companies have begun equipping their vehicles with petrol particulate filters (PPFs), which require lower sulphur petrol to avoid expensive damage. Just a few tanks of the previous 150ppm 91-octane petrol could seriously harm a PPF, a technology that is becoming increasingly common due to Euro 6d regulations.
Alex Misoyannis, a journalist with a passion for automobiles, has been writing extensively about cars since 2017. His journey began with his own website, Redline, and he has since contributed to various automotive publications, solidifying his role as a knowledgeable voice in the industry.
