In Bendigo yesterday petrol prices ranged from 115.9 cents per litre at Caltex in Sandhurst Road to 127.9 at BP in Kangaroo Flat. In central Bendigo prices averaged between 119 and 124 cents per litre.

"The Bendigo prices are consistent with other areas of regional Victoria and regional Australia," ACAPMA chief executive Mark McKenzie said.

"In Sydney, current prices range between 87 cents per litre and 139.9 cents per litre, with an average of 118.6. In Melbourne, the average unleaded petrol price is 128.2 cents per litre with a range between 98.8 and 136.9.

"The drop is due to falling world oil price which is being driven by the combined influence of an excess oil supply in world markets (due to a break-down in relations between OPEC and Russia) and reduced demand as a result of major world economies closing down in the face of COVID-19."

Mr McKenzie said continued falls in oil prices combined with a surplus oil created declining demand and lower fuel prices.

"World oil prices are now the lowest that they have been in more than 20 years and there it is probable that they will fall further in these unprecedented times," he said.

"Independent businesses are free to set their own prices. Prices, however, are moderated by competition which means that if a service station charges a very high price then they will lose market share to their lower priced competitors."

Deputy Prime Minister Michael McCormack said the federal government will continue to watch the actions of fuel retailers in regional areas very closely.

"We encourage the community to name and shame retailers doing the wrong thing," he said.

"Too often, regional motorists bear the brunt of higher fuel prices and I'm making it clear the Government expects retailers to make things right and pass savings on immediately."

Mr McCormick said he welcomed ACCC chairman Rod Simms comments about petrol prices in regional areas.

"I am pleased the ACCC has said fuel prices above 130 cents per litre are inappropriate and they are closely monitoring the situation," Mr McCormick said.

"With world oil prices plummeting to just over $20 per barrel, regional, rural and remote Australians must receive the benefits of lower prices at the bowser."

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