Petrol Prices Rise As Long Weekend Looms

[mrmoshe]

Hope you all filled your cars and boats early as petrol has skyrocketed again right before the long weekend.

Isn't it amazing how the oil companies jack up the price of fuel right before a long weekend?

Especially galling seeing that the price of crude has fallen of late.

Here's today's story:

Pete.

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PETROL prices skyrocketed today as motorists prepared to hit the road for a long weekend in several states.

The rises sparked outrage from motoring groups, but oil companies said they are actually doing it tough.

Motoring group NRMA said the hikes were proof of price gouging and the corporate watchdog should be given more power to crack down on the practice.

"We had that classic example a few months ago when there was a long weekend in the eastern states and not a long weekend in West Australia ... there was a jump of about 12 to 15 cents in the eastern states and the price in West Australia stayed at the previous level," NRMA president Alan Evans told a parliamentary inquiry into the price of petrol.

Mr Evans said prices would have probably dropped if there was not a long weekend ahead in NSW, the ACT, Western Australia and South Australia.

Schools are on holidays in most states as well.

Rather than relying on an industry whistleblower, Mr Evans said the answer was to give the competition watchdog more power.

Also appearing before the inquiry, Shell Australia chairman Russell Caplan cried poor, saying Australian oil refineries were doing it tough.

"It's really difficult for little refineries to compete in an ugly world," he said.

"It's very, very important those refineries operate perfectly to maximise what they can do in a competitive world."

Treasury officials appearing before the inquiry said the Australian Competition and Consumer Commission (ACCC) had all the power it needed to probe claims of anti-competitive behaviour.

"We would say that the ACCC has extensive powers to investigate alleged breaches of the Trade Practices Act," Treasury's market groups executive director James Murphy told the inquiry.

Later in the day, Mr Caplan refused to publicly answer a question about the details of the deal between Shell and retail giant Coles Myer.

In July 2003, Shell and Coles Myer began opening petrol stations that offered motorists a four cent per litre discount if they used a Coles shopping docket.

Prior to going behind closed doors, Mr Caplan said about 90 per cent of Shell's petrol was sold via its Coles service stations.

But Mr Caplan baulked when inquiry chairman George Brandis asked for details of the deal.

"I would be prepared to discuss in camera, but I would not be comfortable discussing in open session because they (the agreements) do contain commercially sensitive elements which I'd not really want to disclose," Mr Caplan said.

The inquiry went behind closed doors for about an hour as the question was answered.

Edited September 28, 2006 by MallacootaPete

[Jewhunter]

It's unbelievable that the oil companies can get away with it.

Oil prices are at a 6 month low & still falling. So where is there a justifiable excuse?

I wish I could get away with so much rorting in my business. Then again I don't pour millions of dollars into the coffers of both major political parties.

Cheers,

Grant.

[James]

what hope can we have in our authorities when they dont have enough power to benefit us as voters.

Edited September 28, 2006 by James