Biodiesel is a renewable fuel made from organic fats and oils — most commonly vegetable oils like canola and soybean, animal fats from rendering plants, and used cooking oil collected from restaurants and food manufacturers. The production process, called transesterification, chemically converts these feedstocks into fatty acid methyl esters (FAME) that can run in standard diesel engines with little or no modification.

You'll see biodiesel sold in different blend ratios, labelled by the percentage of biodiesel in the mix:

• B5 — 5% biodiesel, 95% petroleum diesel. This is the most common blend in Australia and is often sold as standard diesel without any special labelling. Most diesel sold at major Australian retailers already contains up to 5% biodiesel to meet fuel quality standards.
• B20 — 20% biodiesel. A popular blend for commercial fleets and heavy vehicles. It offers a meaningful reduction in particulate emissions without requiring engine modifications on most modern diesel vehicles. Some transport companies in Queensland and New South Wales run their fleets on B20.
• B100 — Pure biodiesel. Rarely available at retail pumps in Australia. It's mainly used by industrial operations, farms, and organisations that produce their own biodiesel from waste oils. Running B100 in an unmodified engine can cause issues with fuel lines, seals, and cold-weather performance, so it's generally not recommended without proper preparation.

The practical advantages of biodiesel are real but modest. It produces fewer particulate emissions and less carbon monoxide than petroleum diesel, and because it's made from renewable feedstocks, its lifecycle carbon footprint is lower. It also has better lubricity than ultra-low-sulphur diesel, which can reduce engine wear.

On the downside, biodiesel has slightly less energy per litre than petroleum diesel — roughly 5–10% less for B100 — which means marginally higher fuel consumption. It can also gel in cold weather more readily, though this is rarely an issue in most parts of Australia. Availability at the pump is limited; outside of B5 blends at major chains, you'll generally need to seek out specialist suppliers, particularly in regional areas. Companies like Biodiesel Industries Australia and several smaller producers supply B20 and B100, but distribution remains patchy.

Ethanol-blended petrol is the most widely available alternative fuel in Australia. If you've filled up at a major service station in New South Wales or Queensland, there's a good chance you've used E10 — regular unleaded petrol blended with 10% ethanol. Ethanol used in Australian fuel is primarily produced from sugarcane molasses (a byproduct of the sugar industry) and waste starch from grain processing.

E10 is approved for use in the vast majority of petrol cars manufactured after 2005. It's typically priced a few cents per litre below standard Unleaded 91, making it the cheapest option at the pump in many locations. In New South Wales, fuel retailers are required by law to offer E10 at a certain proportion of sites, which is why you'll find it almost everywhere in that state. Queensland also has strong E10 availability thanks to the local sugarcane ethanol industry.

The trade-off with E10 is fuel economy. Ethanol contains about 34% less energy per litre than petrol, so a 10% blend results in roughly a 3% drop in fuel efficiency. In most cases, the lower pump price more than compensates for this difference, but it's worth being aware of. You may notice you fill up slightly more often.

E85 is a much higher ethanol blend — 85% ethanol, 15% petrol — and it's a different proposition entirely. E85 can only be used in flex-fuel vehicles (FFVs) specifically designed to handle high ethanol concentrations. Putting E85 in a standard car can damage fuel system components and void your warranty. In Australia, very few vehicles are sold as flex-fuel from the factory, though some performance car enthusiasts convert their engines to run on E85 for the higher octane rating (around 105 RON), which allows more aggressive engine tuning.

E85 availability in Australia is limited. United Petroleum is the main retailer offering E85 at selected sites, primarily in metropolitan areas of Victoria, New South Wales, and Queensland. The price per litre is typically lower than premium unleaded, but because E85 delivers roughly 25–30% fewer kilometres per litre than petrol, the real-world cost saving depends heavily on how much cheaper it is at the pump on any given day.

For most drivers, E10 is the practical choice — widely available, compatible with almost every modern car, and usually the cheapest fuel at the station. E85 remains a niche option suited mainly to tuned performance vehicles and dedicated flex-fuel cars.

Liquefied Petroleum Gas — sold at the pump as autogas — was once one of the most popular alternative fuels in Australia. At its peak in the late 2000s, more than 600,000 Australian vehicles ran on LPG, encouraged by generous government subsidies for dual-fuel conversions and fuel that cost roughly half the price of unleaded petrol. The story today is quite different, but LPG remains a viable option for some drivers.

Autogas is a mixture of propane and butane stored under pressure as a liquid. It burns more cleanly than petrol, producing fewer particulate emissions and less carbon monoxide. Vehicles can either be factory-fitted for LPG (Ford and Holden both offered LPG variants of the Falcon and Commodore) or converted aftermarket by installing an LPG tank — usually in the boot — and a secondary fuel system. Dual-fuel vehicles can switch between petrol and LPG, giving you flexibility if one fuel isn't available.

The main appeal of LPG has always been cost. Even today, autogas typically sells for 60–80 cents per litre, roughly half the price of Unleaded 91. The catch is that LPG delivers about 15–20% fewer kilometres per litre than petrol due to its lower energy density, so the real saving is closer to 30–40% rather than the headline 50% price difference. Still, for high-mileage drivers — taxi operators, couriers, and anyone covering significant distances — those savings add up quickly.

The decline of LPG in Australia has been driven by several factors. The Australian government wound back the LPG Vehicle Scheme in 2014, removing the financial incentive for new conversions. The end of local car manufacturing in 2017 meant no more factory-fitted LPG models. Meanwhile, the number of stations offering autogas has been shrinking — many sites have removed their LPG bowsers as demand fell. Finding LPG can be a challenge, particularly outside capital cities.

That said, LPG stations do still exist, and if you already have a converted vehicle, it remains one of the cheapest ways to drive. You can use the FuelAlert map with the LPG filter to find stations near you that still offer autogas. In New Zealand, LPG availability follows a similar pattern — declining but still present at many stations. In the UK, LPG (sold as "autogas") is available at around 1,200 stations, though this number has also been falling.

Hydrogen is often described as the fuel of the future, and for good reason — when used in a fuel cell, the only emission is water vapour. A hydrogen fuel cell vehicle (FCEV) works by combining hydrogen gas with oxygen from the air in an electrochemical reaction that produces electricity to drive the motor. There's no combustion, no exhaust fumes, and refuelling takes about the same time as filling a petrol tank — roughly five minutes for a full tank that delivers 500–650 kilometres of range.

The challenge with hydrogen is everything that happens before it reaches the vehicle. Hydrogen doesn't exist in useful quantities in nature; it has to be produced, and the method of production matters enormously for its environmental credentials:

• Grey hydrogen is made from natural gas through steam methane reforming. It's the cheapest production method but releases significant CO2 in the process. The vast majority of hydrogen produced globally today is grey.
• Blue hydrogen uses the same process but captures and stores the CO2 emissions. It's cleaner than grey but relies on carbon capture technology that isn't yet proven at scale.
• Green hydrogen is produced by splitting water using electrolysis powered by renewable energy. It's truly zero-emission but currently expensive — roughly two to three times the cost of grey hydrogen.

In Australia, the hydrogen vehicle landscape is still in its infancy. Toyota and Hyundai have brought small numbers of fuel cell vehicles into the country — the Toyota Mirai and Hyundai Nexo — but these are mostly used in fleet trials and demonstration projects rather than sold to private buyers. The ACT government has operated a small fleet of hydrogen buses and cars. As of early 2026, public hydrogen refuelling stations remain extremely limited, with a handful of sites in Canberra, Melbourne, and Brisbane either operational or under construction.

Globally, the picture is more developed but still early-stage. Japan and South Korea have invested heavily in hydrogen infrastructure, with several hundred public refuelling stations between them. Germany has over 90 stations. The UK has around 15 public stations, mostly concentrated in London and the south-east of England.

The future of hydrogen in transport is likely to be shaped by heavy vehicles rather than passenger cars. Long-haul trucks, buses, trains, and potentially ships and aircraft are where hydrogen's advantages — fast refuelling, long range, and high energy density by weight — matter most. For passenger cars, battery electric vehicles currently have a significant head start in infrastructure and cost. But hydrogen remains a technology worth watching, particularly as green hydrogen production costs continue to fall and governments invest in distribution networks.

With so many options now on the table, it's worth stepping back and comparing the main alternatives to conventional petrol and diesel. Each fuel type has distinct strengths and weaknesses, and the right choice depends on how you drive, where you live, and what matters most to you.

Battery electric vehicles (EVs) have the most mature alternative infrastructure in Australia, with thousands of public charging points and growing fast. Running costs are exceptionally low — roughly 3–5 cents per kilometre on home electricity compared to 10–15 cents per kilometre for petrol. EVs produce zero tailpipe emissions, and even accounting for electricity generation, their lifecycle emissions are substantially lower than internal combustion engines in most grids. The downsides are upfront cost (though prices are falling), charging time (30 minutes to several hours depending on the charger and battery size), and range anxiety on long regional trips where charging infrastructure may be sparse.

Biodiesel works in existing diesel vehicles with minimal or no modification, making it the easiest alternative to adopt if you already own a diesel car or truck. The emissions reduction is meaningful but moderate — roughly 15–20% lower lifecycle CO2 for B20 compared to petroleum diesel. Availability is the main limitation; outside of standard B5 blends, finding biodiesel at the pump takes effort.

Ethanol (E10) is the most accessible alternative fuel in Australia by sheer availability. The cost saving is small but consistent, and the emissions benefit is modest. For most drivers, using E10 is simply a matter of selecting it at the pump — no vehicle modification, no planning required.

Hydrogen offers the best refuelling experience — fast fill-ups and long range — but infrastructure barely exists for private vehicles in Australia. Fuel cell vehicles are expensive and scarce. Hydrogen's future likely lies in commercial and heavy transport rather than everyday passenger cars.

LPG provides the biggest fuel cost saving of any option but requires a vehicle conversion and is becoming harder to find. It's best suited to high-mileage drivers who can recoup the conversion cost quickly and who are willing to plan routes around LPG availability.

No single alternative fuel is the clear winner across every measure. EVs lead on running costs and emissions. Biodiesel and ethanol win on ease of adoption. Hydrogen excels at range and refuelling speed. LPG is hard to beat on per-kilometre fuel cost. The best choice is the one that fits your driving patterns, your vehicle, and your local fuel infrastructure.

Alternative fuel availability varies significantly depending on where you are, and government policy plays a major role in shaping what's on offer at the pump.

Australia has a mixed picture. E10 is widely available in New South Wales (where mandate requirements support it) and Queensland (home to most of the country's ethanol production). In other states, E10 can be harder to find — Western Australia and South Australia have fewer outlets, and Tasmania has very limited ethanol fuel supply. LPG is available in all capital cities but increasingly scarce in regional areas. Biodiesel beyond B5 is a specialist product. Hydrogen refuelling is essentially limited to trial sites. EV charging infrastructure is expanding rapidly, with the federal government's National Electric Vehicle Strategy aiming to support widespread coverage, particularly along major highways linking regional centres.

Australia's fuel standards have historically lagged behind Europe — Australian petrol still permits higher sulphur levels than EU equivalents, which has limited the adoption of some cleaner engine technologies. The introduction of the New Vehicle Efficiency Standard in 2025 is expected to accelerate the shift towards lower-emission vehicles and fuels over the coming decade.

New Zealand has a strong focus on decarbonising transport. The government's Clean Car Discount (often called the "feebate" scheme) has incentivised EV purchases, and New Zealand now has one of the highest per-capita EV adoption rates in the Asia-Pacific region. Ethanol-blended fuels are available at selected Gull and Z Energy stations, though not as widespread as in Australia. LPG is available at many stations across both islands, though the number of outlets is declining. Biodiesel is produced domestically in small quantities, primarily from tallow (rendered animal fat), and is blended into diesel at some Z Energy and BP sites. Hydrogen infrastructure is minimal, with a small number of demonstration projects underway.

The United Kingdom introduced E10 as the standard petrol grade in September 2021, replacing E5 (which remains available as super unleaded for older vehicles). This single policy change made the UK one of the largest E10 markets in Europe overnight. LPG (autogas) is available at roughly 1,200 stations, with reasonable coverage across England and Scotland. Biodiesel blending is standard in UK diesel, typically at B7 (7% biodiesel). The UK government has set ambitious targets for hydrogen, with a Hydrogen Strategy aiming for 10 GW of low-carbon hydrogen production capacity by 2030, though public refuelling stations for cars remain rare. The UK leads Australia and New Zealand in EV infrastructure, with over 60,000 public charging points and a ban on new petrol and diesel car sales set for 2035.

Regardless of where you are, the trend is clear: governments are supporting the transition away from fossil fuels, and the range of alternative options at the pump will continue to grow. Staying informed about what's available in your area helps you make smarter fuelling decisions — whether that means saving money today or preparing for the fuel landscape of tomorrow.