subject: Motorists Stung On Premium Petrol Prices [print this page] The Federal Government's refusal to change its prohibited fuel guidelines, following last year's fuel contamination that caused catastrophic damage to vehicles, is flawed and leaves motorists unprotected, says RACV and VACC.
In August 2009, a batch of contaminated fuel, delivered to metropolitan Melbourne outlets, affected 130 vehicles which were subsequently classified as repairable write-offs. Immediately after the first reports of a suspect fuel, RACV and VACC jointly sanctioned an independent test that determined the fuel contained silicone oil.
RACV and VACC subsequently called for silicone oil to be included on the Register of Prohibited Fuel Additives. A delayed Federal Government investigation found no evidence of silicone oil and the Federal Government has backed away from adding silicone oil to its Register.
RACV Chief Engineer, Vehicles, Michael Case said the Federal Government's decision showed blatant disregard for motorists whose cars were damaged by the contaminated fuel.
"Seven months after the fuel contamination crisis, motorists are still in the dark about how this contamination occurred and who is responsible for it," said Mr Case.
"What is also frustrating is that this Government's failure to protect motorists by changing its own guidelines leaves motorists in the same vulnerable position, if there is a repeat of the contamination.
"It's clear the current Government guidelines on contaminated fuels are inadequate and the Government must review its decision to protect motorists," Mr Case said.
VACC Senior Manager, Government and Public Affairs, David Russell, said the Federal Government's inaction placed the responsibility for monitoring fuel standards back on the motorist.
"It is an unacceptable outcome and we are calling on the Federal Government and the ACCC to step up and act for consumers," said Mr Russell.
"Victoria's Consumer Affairs Department has attempted to clarify the source of this contamination, and provide consumers with support, but this is a matter for the Federal Government to resolve.
"If the Federal Government fails to act because of bureaucratic red tape, Victoria's motorists will be left to pick up the pieces and hope there is no repeat contamination. It is simply not good enough," Mr Russell said.
Victorian motorists are paying too much for premium unleaded petrol, says the state's peak transport advocate.
RACV says the price margin of premium over regular unleaded fuel has risen 40 percent for no justifiable reason.
RACV's Chief Engineer, Vehicles, Michael Case said the difference between regular unleaded petrol and 95 RON premium was around nine cents per litre with motorists required to pay an extra five cents to purchase 98 RON fuel.
"The increasing price gap between fuels is disturbing. We see no reason why motorists should be paying more," Mr Case said.
"Many vehicles, particularly new vehicles from Asia and Europe, require premium fuels leaving motorists with little choice but to pay the increased prices. RACV is concerned that the price of premium fuels will continue to rise forcing motorists to pay higher prices in the future.
"RACV has received a number of complaints from motorists tired of having little choice but to pay more for premium fuels. It's time the ACCC investigated why the premium fuel price can be priced so similarly from one retailer to the next, reducing the options for motorists looking for cheaper fuel."
Mr Case said motorists can send a message to petrol operators and service station owners by planning ahead and only filling up their cars on the cheaper days (Wednesdays and Thursdays) and by using the RACV website to find the cheapest prices in their area.
"Although some independents do have slightly different pricing structures the majority of operators in Victoria charge a similar and steadily increasing premium for high octane fuels that limits competition and stings motorists with unacceptable higher prices."
