Australia: FuelWatch to be Implemented in December 2008 for Petrol Retail Pricing

From December 15, the ACCC, the competition monitor, will make the prices public.  A similar scheme has been operating in Western Australia since 2000, and has cut petrol prices by 2c a litre. Petrol retailers will have to post their next-day prices with the ACCC by 2pm. At 3pm the ACCC would make them public and motorists could pick the cheapest rate. They would know that price would operate all day.

NRMA president Alan Evans welcomed the announcement, saying it was a "great day for motorists in NSW". "We really welcome the FuelWatch scheme's introduction and thank the Rudd Government for making this tough decision in the face of the oil companies," Mr Evans said.  "Our detailed research suggests this will result in lower petrol costs for motorists and take away the day-by-day uncertainty they face.  "Finally the petrol companies will no longer be able to spring price rises of 10c, 15c and even 20c a litre in a day." Mr Evans said the NRMA had had discussions with the Federal Government over recent weeks and had given its full endorsement to FuelWatch.

Petrol supplier Caltex said it believed the scheme would help some motorists but be a disadvantage for others.  "As with any regulation, the introduction of a FuelWatch 24-hour rule across Australia will likely benefit some and disadvantage others," Caltex managing director and CEO Des King said.