The report is the second of its kind into the petrol market in Australia that studied petrol prices in regional and metropolitan areas.

The report was released on Thursday and disclosed that between 2012 and 2013 and in the first half of 2015-16 Launceston motorists paid 12c more at the bowser than the five largest cities in the country.

The average price in Launceston in the December quarter of 2016 was 128.5 cents per litre, which was an increase of 3.3 cents per litre.

However the report noted that this increase was significantly lower than the increase in prices reported in the five largest cities over the same period, who recorded a 7.8 cents per litre rise in prices.

Gross indicative retail differences in Launceston decreased by 3.6 cents per litre to 12.6 cents per litre in the December quarter of 2016.

This equates to about 4 cents per litre lower than average annual gross indicative retail differences in 2015 and 2016.

The report is the second market report released by the ACCC, who released its first report into petrol prices in July 2016.

That report  found Launceston’s higher prices compared to mainland states was driven by higher transport costs, operating costs and retail margins and that reduced retail sites in Launceston since 2007 may have influenced price competition.

It also found independent retailer United Petroleum had placed major price pressure on other retailers through a discount agreement with RACT.

The United/RACT deal offered members an 8 cents per litre discount over two months from February at 40 statewide United sites.

The ACCC report said the deal had forced United Petroleum’s competitors Coles Express and Woolworths to increase its discount offers.

The full report is online.