Discover the best Australian state for car owners in 2025, comparing fuel prices, insurance rates, registration costs, and road quality. Save on ownership expenses while targeting in-demand jobs for skilled migrants.
Introduction
Australian drivers spend over $1,700 annually on fuel alone, according to the Australian Automobile Association’s 2025 Transport Affordability Index. For skilled migrants eyeing regional opportunities, choosing the right state balances low car ownership costs with job prospects in high-demand sectors like healthcare and trades. This guide analyzes fuel prices, insurance, registration, tolls, and road conditions across states. It reveals the most affordable options for motorists, helping you minimize expenses while pursuing visas like the 491 regional provisional pathway.
Fuel Prices Across Australian States in 2025
Fuel remains a top expense for car owners, averaging $93 weekly in capital cities per the AAA’s Q1 2025 data. Prices fluctuate due to global oil trends, taxes, and distribution costs, but state variations offer clear savings.
Western Australia leads with the lowest averages: unleaded petrol at 178.0 cents per litre (cpl) and diesel at 184.4 cpl as of April 2025, per Road Genius statistics. This edges out South Australia (around 180 cpl for petrol) and Queensland (185 cpl), making WA ideal for frequent drivers. In contrast, the Northern Territory tops the charts at 195.8 cpl for petrol and 207.9 cpl for diesel, driven by remote logistics.
For a fair comparison, consider capital city cycles monitored by the ACCC: Sydney averages 164.0 cpl for unleaded, Melbourne 168.9 cpl for diesel, and Brisbane slightly higher at 170 cpl. Regional areas often add 10-20 cents per litre due to transport. Electric vehicle (EV) owners fare better nationwide, with incentives like WA’s expanded charging network reducing effective costs to under $15 weekly for home charging.
Skilled migrants in trades or mining—key in-demand jobs for 2025—benefit most in low-fuel states. WA’s mining sector, facing shortages per Jobs and Skills Australia’s 2025 Occupation Shortage List, pairs cheap diesel with salaries up to $130,000 annually. Shop via apps like FuelCheck to save 10-15 cents per litre, potentially cutting $200 yearly.
Car Insurance and Registration Costs by State
Insurance and registration form the backbone of mandatory car expenses, totaling $1,766 annually on average, or $32 weekly, per AAA 2025 figures. Comprehensive policies average $2,500 across capitals, but state differences highlight savings.
Tasmania offers the lowest comprehensive rates at $1,710 yearly, followed by Queensland ($1,901) and South Australia ($1,881), based on Canstar’s 2025 Star Ratings. Providers like Bingle and Budget Direct dominate value awards, with premiums 15-20% below market in TAS and QLD. Compulsory Third Party (CTP) insurance varies: NSW requires separate Green Slips averaging $619, while most states bundle it into rego.
Registration fees depend on vehicle weight, cylinders, or location. NSW charges $334-$1,476 based on tare weight; Victoria $780-$907 by risk zone; and Queensland $716-$1,370 by cylinders. Tasmania’s cylinder-based system starts at $612 for three-cylinder cars, plus $400 in taxes—cheapest overall at under $1,000 yearly. EVs snag discounts: up to three years free rego in SA for vehicles under $68,750 registered by June 2025.
For migrants via the 494 regional visa, low-cost states like TAS align with in-demand trades (e.g., electricians earning $90,000-$130,000). Compare quotes annually—switching saves $300+ via sites like Canstar.
Road Conditions, Tolls, and Infrastructure Quality
Road quality directly impacts safety and maintenance costs, with Australia’s network earning a 4.9/7 global rating in 2019, per TheGlobalEconomy.com. The 2025 AusRAP database rates 35,000km in NSW at mostly 3-5 stars, but regional gaps persist.
Western Australia excels with superior highways like the Kwinana Freeway (5 stars), bolstered by $2.8 billion in safety upgrades. Queensland follows, with Brisbane’s Gateway Motorway at 4-5 stars, though rural NT roads lag at 1-2 stars. Maintenance varies: WA invests heavily in remote roads, reducing pothole risks that add $500 yearly in repairs elsewhere.
Tolls hit hardest in urban east: Sydney’s 13 roads (e.g., M7) cost $15-35 daily, with a $60 weekly cap until 2026; Melbourne’s CityLink $8-18; Brisbane’s Gateway $10-25. WA, SA, and TAS remain toll-free, saving commuters $1,000+ annually. Use E-Tags for 35% discounts nationwide.
EV infrastructure shines in VIC and NSW, with 500+ fast chargers by mid-2025, plus rebates like TAS’s $500-$10,000 interest-free loans. Regional migrants benefit: WA’s mining jobs pair with expanding stations every 150km.
Linking Low Ownership Costs to In-Demand Regional Jobs
For skilled migrants, the best states align affordability with 2025 job hotspots. Jobs and Skills Australia’s Occupation Shortage List flags 139 persistent gaps, especially regional healthcare (nurses, $65,000-$120,000) and trades (electricians, $90,000-$130,000).
Tasmania emerges as the top pick: lowest insurance ($1,710), rego under $1,000, no tolls, and strong roads (4-star average). It targets 494 visa holders in nursing and renewables, with $2,000 EV rebates. WA ranks second for fuel (178 cpl) and EV incentives ($3,500 rebate until May 2025), fueling mining shortages. SA offers three-year EV rego exemptions and healthcare roles.
Compare via the AAA Index: TAS ownership costs $1,602 yearly regionally vs. $1,670 in capitals. For 491/494 visas, prioritize states nominating your skills—e.g., QLD for tourism trades.
Conclusion
Tasmania stands out as the best Australian state for car owners in 2025, blending low fuel (180 cpl), insurance ($1,710), and zero tolls with solid roads and EV perks. Pair this with in-demand regional jobs like nursing for seamless migration. Calculate your costs using state tools, then apply for a 491 visa to start saving. Consult a migration agent today—your affordable drive to a new life awaits.
