Japan: Fuel Tax Surcharge Raises Prices to All Time High
|
|
|
|
Friday, 02 May 2008 |
|
Analysts say retail fuel prices are likely to rise to an all- time
high of around 160 yen with the reinstatement of 25.1 yen in fuel tax
surcharge on 1st May. The Japanese Ministry
of Economy, Trade and Industry said it will carry out an
emergency market survey to prevent price gouging.
The restoration of the fuel tax surcharges is expected to
prompt oil companies to raise wholesale fuel prices by around 30
yen as they will pass higher crude oil prices on to shipment prices.
The fuel tax is levied when oil wholesalers ship their products to the service station network.
Meanwhile, METI said it will check prices of petroleum products at 600
to 1,000 service stations across Japan before Tuesday next (6th May) in
cooperation with the Oil Information Centre to see whether there are
unfair moves to take advantage of the restoration of the fuel tax
surcharges, such as unduly high increases in prices and the formation
of price cartels.
If unfair prices are confirmed, the ministry
will issue administrative directives to parties involved or report them
to the Fair Trade Commission.
PetorlWorld 020508
|
