It costs to fill up in Port Hedland

Port Hedland is the most expensive place in Australia to buy petrol, according to research by the Australian Institute of Petroleum.

Last week the average price of fuel in the Pilbara town was $1.54 a litre.

According to CommSec senior economist Craig James, people in remote centres like Port Hedland, Alice Springs and Broome have to outlay an extra $18 to fill up the average car (assuming a 60 litre fuel tank).

It's also expensive to fill up in Broome ($1.49), Carnarvon ($1.44) and Geraldton ($1.37).

The research found Bairnsdale in Victoria's Gippsland region is the cheapest town in Australia for petrol while Canberra is the cheapest capital city.

The price of petrol in Perth last week was just over $1.26 a litre while the average for the state was $1.28.

"While Australia remains one of the cheapest places in the world to purchase petrol, like any good, it is important that consumers shop around and seek the best deals. Not only do consumers win, but the practice fosters strong competition and efficient industry practices," said Mr James.

"Certainly the community as a whole benefits if inflation is kept between 2-3 per cent over time as it translates to lower sustained interest rate levels," he said.