The RACT says 100 per cent of revenue collected from the $12 billion fuel excise should go towards funding road infrastructure.
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There have been calls for the government to halve the 44-cents-per-litre exercise amid skyrocketing petrol prices.
Recent analysis by the Bureau of Infrastructure and Transport Economics found just 53 per cent of money from the excise had been used on roads and public transport.
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It found $68.4 billion of the $127.3 billion raised by the tax over 10 years had been spent on roads and pathways.
In the 2012 budget year, the body found just 31 per cent of fuel excise review was spent on transport.
RACT chief advocacy officer Garry Bailey said the underfunding over a number of years had meant the entire country now had to catch up to fix its road networks.
He said the RACT backed the Australian Automobile Association push for all money raised by the fuel excise to be spent on road
"With petrol prices at record levels, Australian motorists deserve to have every cent of their fuel taxes spent on projects that make their commutes faster, their families safer and their communities stronger," he said.
"There are over 210,000 RACT members and they all vote.
"We have consulted extensively with our members and their feedback is crystal clear - we need better roads."
Mr Bailey said RACT members in particular wanted to see the Tasman Highway upgraded.
"The Tasman Highway is Tasmania's longest highway, and in places, it's in very poor condition," he said.
"The state government has committed to developing a ten-year plan and we would like to see the next federal government allocate at least $50 million to upgrades."
Mr Bailey said the motoring body had called on the Labor and Liberal parties to commit to Bass Highway upgrades so it was at least at AusRAP 3 standard.
In particular, the RACT wants to see money spent on road upgrades at Christmas Hills, Parramatta Creek, intersections at Wynyard, and roadworks from Wynyard to Marrawah and from Burnie to Smithton.
As of Sunday, petrol prices in Tamania were on average $2.21 a litre. The average price had risen by 13.1 cents over the week.
Prices were highest in Hobart with an average of $2.23 per litre and lowest in Wynyard at $2.12 per litre.
Burnie and Devonport motorists were paying between $2.17 and $2.19 per litre at the bowser.
Launceston motorists were paying $2.21 per litre.
Overall, petrol prices have increase by almost 20 per cent over the period of a month.
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Political reporter for Australian Community Media, based in Hobart.
Political reporter for Australian Community Media, based in Hobart.
