Fuel has always been a core operating cost for fleets. But increasingly, particularly with the current global conflict, it's also one of the hardest to plan for. Unlike fixed costs such as leasing or salaries, fuel is entirely market driven.

In Australia, fuel prices are influenced by a mix of global and local factors, from international oil markets to currency movements and domestic pricing cycles, meaning fluctuations are not uncommon. Recent months have highlighted just how quickly things can change, with petrol prices rising by 46.5% and diesel by 64.1%  according to GlobalPetrolPrices.com (as at 30 March 2026). For fleets operating across multiple regions, that creates a fragmented and often inconsistent cost environment. The challenge is no longer just cost, its uncertainty.  

While price movement is outside of a business’s control, how fuel is used across a fleet is not.

Driver behaviour, the variable most fleets underestimate

Fuel usage is not just a function of distance travelled. It’s a function of how vehicles are driven. And the gap between an efficient driver and an inefficient one, operating the same vehicle on the same route, is larger than most businesses realise.

A 2024 study found that aggressive driving can increase fuel consumption by 23% compared to normal driving. This study was based on analysis of driving data across more than 1,500 drivers, which if scaled across a larger fleet provides a material cost difference that no procurement strategy can recover.

Below are some examples of how driver behaviour can influence fuel use day to day:

Acceleration and braking

Every time a driver accelerates hard, the engine burns more fuel than necessary to build speed. Every time they brake late, that momentum is wasted, and the cycle starts again. Smooth, progressive driving, reading the road ahead rather than reacting to it, is one of the most effective habits a fleet can embed. It costs nothing to implement and improves efficiency across every vehicle in the fleet.

Idling

An engine left running while stationary is burning fuel with nothing to show for it. For drivers who make frequent stops across a working day, switching off the engine rather than letting it run quickly become a meaningful saving at scale.

Speed and aerodynamic drag

The faster a vehicle travels, the harder its engine has to work due to greater aerodynamic drag: the resistance a vehicle experiences pushing through air. Drag increases exponentially with speed, meaning the jump from 100/km to 120/km costs significantly more fuel than the numbers alone suggest. Unlike some driving behaviours that improve naturally with awareness over time, speed is one of the harder habits to shift consistently across a fleet. On open roads, cruise control helps by maintaining a steady speed eliminating the small, often unconscious accelerations that add up over a longer journey. Clear policy, telematics monitoring and regular training are what make the difference for the rest.  

Tyre pressure

Under-inflated tyres increase rolling resistance, meaning the engine works harder to maintain speed. Drivers should check tyre pressure regularly; particularly as seasonal temperature changes affect levels. Pressure guides are typically found inside the driver’s door frame, fuel flap or glove box. It’s a small check that adds up to a meaningful saving across a large fleet over time.

Vehicle load

Carrying unnecessary weight increases the energy required to move a vehicle. Roof racks not in active use, equipment left in the boot, accessories that have served their purpose but haven’t been removed, all of it adds load that the engine has to work against. Keeping vehicles fit for purpose, and only carrying what is needed, is a straightforward gain.

Beyond driver behaviour, below are some practical ways fleets can further improve fuel efficiency:

Route optimisation is not just about getting there faster

Route planning has a direct impact on fuel consumption, but the real value goes beyond simply finding the shortest path from A to B. It is about taking a more strategic approach to how journeys are planned and executed across the fleet. Where possible, grouping errands, deliveries or customer visits into consolidated trips reduces total distance travelled. Job pooling, where drivers heading to the same area coordinate to share or sequence stops, reduces duplicate journeys. Timing routes to avoid peak congestion reduces idle time and stop-start driving. All three outcomes reduce fuel spend and vehicle wear simultaneously.

Fleet decisions that compound the gains

While driver behaviour arguably creates one of the biggest day-to-day variances in fuel consumption, the decisions made at a fleet management level set the baseline everything else operates from.

Vehicle maintenance

Regular servicing, timely oil changes, and clean air filters keep engines running at optimal efficiency. Deferred maintenance does not just create future repair costs; it adds to the fuel bill every week. A proactive maintenance schedule, tracked and managed at a fleet level, ensures nothing splits through the cracks and every vehicle in the fleet is running as efficiently as it should be.

The right vehicle for the right role

A vehicle that is larger or more powerful than the role requires will consume more fuel than necessary. Aligning vehicle selection to actual operational needs rather than defaulting to the same spec across the fleet, is one of the more straightforward ways to reduce baseline consumption. It is worth reviewing regularly too, as roles and requirements change over time. SG Fleet’s consultative approach to fleet procurement helps organisations make these decisions based on data, not habit.

Visibility is the foundation of control

Telematics platforms give fleet managers a clear picture of driver behaviour, such as idling frequency, harsh braking events, speeding patterns and route deviations across the whole fleet. This helps to identify where driver training will have the most impact, and makes efficient driving a measurable, repeatable standard rather than a matter of individual habit.

A mixed fleet is a more resilient fleet

No energy source is entirely immune to disruption. Petrol and diesel prices move with global markets. Electricity supply carries its own dependencies. Rather than viewing fleet composition as an either/or decision, the smarter approach is to match vehicle powertrains to the operational needs and risk profile of each role.

For some organisations, that means accelerating EV adoption where it makes sense, particularly for predictable urban routes where charging infrastructure is reliable and running cost stability is a priority. For others, ICE or hybrid vehicles remain the right fit for certain use cases. A well-considered mix gives fleets more flexibility to absorb volatility from any direction, rather than concentration in a single fuel type.

If you are thinking through how to structure your fleet for both efficiency and resilience, please speak to your fleet manager to help you work through the right balance for your operations.

Watch for fraud when prices spike

Periods of elevated fuel prices tend to bring increased misuse of fuel cards, overfilling, personal use and inflated transactions that can quietly compound costs. If fill-up frequency does not align with odometer data or a transaction exceeds a vehicle’s tank capacity, it warrants investigation. The Overfill Report in Fleetintelligence is the right place to start to uncover this insight.  

A more robust approach to fleet management

Fuel price volatility isn’t new, but it is becoming more pronounced. With Australia importing around 90 per cent of its refined fuel, prices here will always be sensitive to what happens offshore.

For fleet managers, the opportunity lies in taking a more proactive approach. Not just managing fuel as a cost, but understanding it as a variable, and designing fleet strategies that can adapt accordingly. Because while fuel prices may always fluctuate, the level of control a business has over its fleet doesn’t have to.

Staying informed on fuel prices and supply

For fleet managers wanting to monitor the fuel price environment can access detailed, regularly updated information via the following sources:

• The ACCC fuel monitoring and petrol pricing insights provide regular reporting on fuel prices across capital cities and more than 190 regional locations.
• For broader supply and demand insights, the Australian Petroleum Statistics dataset provides national-level data on fuel production, imports and consumption trends

How we can support you and your business

Fuel cost pressure is rarely driven by one factor. It comes down to how vehicles are used, maintained and managed day-to-day.

At SG Fleet, we help make that visible. Using our online portals, we connect fuel data with driver behaviour and vehicle performance so you can identify where fuel is being lost and where to act.

If you’d like advice on improving fuel efficiency across your fleet, or broader mobility strategy planning, speak to your Relationship Manager, or get in touch with the team here.