Australians Resort to Homemade Fuel as Global Gas Prices Surge
When Bruce Dunne pulled up to a fuel station on Queensland's Sunshine Coast and spent $500 filling up his work vehicle and jerry cans, he decided he had had enough.
The HVAC tradie and former Big Brother contestant — who came fourth on the most recent series — went home and started experimenting. The result was a homemade diesel alternative brewed from recycled cooking oil sourced from local fish and chip shops, filtered and mixed with regular diesel at a 50-50 ratio.
A TikTok video showing his setup has now racked up more than 1.4 million views.
"I really hoped it wouldn't come to this but here we are, cooking up our own diesel," Dunne says in the clip. "Because politely, $3.15 for a litre of the dino juice is daylight robbery. I'm not paying it."
Why Fuel Prices Are So High
Australia is in the grip of a serious fuel crisis driven by disruption to global oil supply. The conflict has disrupted oil flows through the Strait of Hormuz, triggering a surge in prices and supply concerns across Australia.
The international benchmark for crude oil rose above $116 a barrel, and national average petrol prices have climbed sharply. Average regular unleaded prices in Sydney reached 257.8 cents per liter as of late March, up nearly 100 cents from the low point of the cycle in mid-February. Diesel in Sydney has climbed to 322.8 cents per liter.
Demand spiked by up to 50 percent in some areas as motorists panic-bought fuel, leading to dry pumps at hundreds of service stations. In response, Prime Minister Anthony Albanese announced the fuel excise would be cut in half from April 1 to June 30, a move expected to reduce petrol costs by around 26 cents per liter.
How Dunne's DIY System Works
The key to Dunne's setup is his vehicle. Older diesel engines with mechanical fuel pumps — rather than the sophisticated electronic systems in modern cars — are compatible with alternative fuel blends.
He sources used cooking oil for free from local businesses, filters it, and mixes it with diesel. At a 50-50 blend, he says it cuts his fuel costs roughly in half. His long-term plan is to phase out diesel entirely.
"Runs like a dream," he said.
The system has already spread to his immediate circle. "I've started cooking it up for my brother and my dad," he said. "I've had a lot of my mates asking, 'can you show us how to do it?'"
He is also clear on the legal limits. For personal use, he says the practice is permitted. Selling it commercially is not — it would need to meet proper fuel standards.
Experts Urge Caution
David McCowen, motoring content director for News Corp Australia, acknowledged the appeal of the workaround but warned against replicating it without proper knowledge.
"Desperate times call for desperate measures, but it's best not to try this at home," he said. "Modern cars with sophisticated emissions systems might not work with fuel that does not match the way their systems have been calibrated. There are also questions surrounding safety, equipment, training and insurance."
The Broader Impact
For Dunne and others in rural and regional Australia, the crisis hits differently. There is no public transport alternative. Driving is not optional — it is how people get to work, access services, and keep businesses running.
Experts warn that rising fuel costs are expected to flow through to food prices within weeks, as every stage of the food supply chain depends on diesel-powered transport. In Victoria, one transport company reported spending more than $3,000 to fill a single truck. In Sydney's southwest, police alleged a thief was caught siphoning hundreds of liters of fuel from a parked truck.
Australia sources approximately 80 percent of its refined fuel needs from overseas, leaving it particularly exposed to international supply disruptions. The government formed a National Fuel Supply Taskforce to coordinate distribution, while the Australian Competition and Consumer Commission launched a probe into major fuel retailers over alleged anti-competitive conduct.
For Dunne, the numbers speak for themselves.
"When you're paying $500 at the servo, that's the same price as a return flight to Bali," he said. "I'd rather take out a loan and go to Bali, mate."
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