Focus on Regional fuel prices is long overdue


The peak national body representing the motoring consumer, the Australian Automobile Association (AAA), has welcomed the consumer watchdog’s commitment to monitoring fuel prices in rural and regional areas.

“This is welcome but unfortunately, is long overdue,” AAA Acting Chief Executive James Goodwin said.

The Australian Consumer and Competition Commission (ACCC) today announced further details on its new fuel price monitoring approach, with a particular focus on price discrepancies between regional and metropolitan areas.

“The motoring clubs have been calling for a detailed investigation into fuel prices in rural and regional areas for a long time,” he said.

“Reduced competition in many country towns is very concerning with locals being particularly hard done by because they often drive larger vehicles and longer distances,” Mr Goodwin said.

“It’s not uncommon for the national average in regional areas to be 15 or 20 cents per litre higher than in the city and in many cases this simply can’t be explained by higher transport costs,” he said.

“The higher price in country areas hurts not only those living there but particularly at this time of year, families who are taking holidays in those areas,” Mr Goodwin said.

“We are concerned that although the price at the pump has dropped recently, the margin between the wholesale and retail price has grown, meaning the full savings have not been passed on to motorists,” he said.


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