MTAA’s Warnings about Uncompetitive Petrol Pricing Practices Vindicated

The ACCC Petrol Commissioner’s warning to consumers regarding the pricing policies at Coles Express sites and the use of shopper dockets by consumers when purchasing petrol vindicate the Motor Trade Association of Australia’s (MTAA) long held belief that consumers are overpaying the Supermarkets/Oil Companies. MTAA is not at all surprised by the Australian Competition and Consumer Commission’s (the Commission) statements regarding Coles Express pricing.

MTAA has always said that once the supermarkets gained significant market share in the petroleum retail sectors that the real benefit of a ‘four cents’ discount voucher would need to be questioned due to the likelihood of artificially inflated petrol pricing. The Association thus urges consumers to shop around for the best petrol price and to be cautionary in their use of shopper dockets.

MTAA has repeatedly called on both the Australian Government and the Commission to conduct a thorough investigation into shopper dockets; including the effect upon competition, the origin of the discount and what benefit shopper dockets provide consumers.

The Association is relieved that the Petrol Commissioner has identified characteristics of the market which MTAA has long been aware and of which it has repeatedly advised the Commission.


END

8 May 2008

For further information please contact Michael Delaney, Executive Director of MTAA on
(02) 6273 4333.