'Unusual' for two petrol stations just kilometres apart to have a 33 cent price difference: AA

Wednesday, 18 September 2019

Worried about rising petrol prices? Here are six easy ways to reduce the cost.

The Automobile Association says fuel companies Z Energy and BP were too quick to raise their prices following drone attacks on Saudi oil sites, leaving price variances of 33 cents in parts of Wellington.

AA Petrolwatch spokesman Mark Stockdale said BP and Z raising petrol prices by 6c following the Saudi attacks on Monday and commodity prices rising was unnecessary.

Fuel retailer Gull promised not to increase the price of petrol at its company-controlled service stations before the weekend.

Stockdale said since Monday, the global oil commodity price had fallen and fuel prices also needed to reflect that.

**READ MORE:

On Wednesday afternoon the price of 91 petrol was $2.08 at Waitomo Tinakori on Hutt Rd, Wellington.

* Attacks on Saudi felt at pump as Z and BP raise petrol by 6 cents

* Z Energy tips petrol could rise 5c to 10c in response to Saudi attacks

Z Harbour City on Whitmore St in Wellington was the most expensive in Wellington at $2.42 for a litre of 91.

* Saudi Arabia oil sites hit by drone strikes**

'They were quick to raise and now must be quick to reduce,' Stockdale said.

AA Petrolwatch spokesman Mark Stockdale says fuel companies were too quick to raise their petrol prices by 6 cents on Monday.

'In hindsight they should have done what Gull did which was to hold off, watch and wait.'

BP and Z have been approached for comment.

Gull New Zealand general manager Dave Bodger says the company sold 40 per cent more petrol than usual due to its decision to hold prices.

Global oil commodity prices had dropped 6 per cent as Saudi Arabia said it had restored half its lost production, and forecast output would return to normal by the end of the month.

Stockdale said while variances in petrol prices were common in Wellington, it was 'unusual' to see a 33c difference at petrol stations just 2 kilometres apart.

On Wednesday afternoon the price of 91 was $2.09 at Waitomo Tinakori on Hutt Rd and $2.42 at Z Harbour City on Whitmore St in Wellington.

In Auckland the cheapest 91 fuel was $2.09 at Gull Titirangi Rd and most expensive was $2.42 at Z Skyway on George Bolt Memorial Drive.

Stockdale said it was up to customers to shop around to find the cheapest fuel using apps like Gaspy.

'We've seen an increase in price competition around the country because of the expansion of no frill brands that operate unmanned petrol stations who offer lower prices.'

Gull New Zealand general manager David Bodger said the company sold 40 per cent more petrol than usual on Tuesday, and the latest oil-price volatility justified Gull's decision to hold prices.

Bodger said petrol price rises were 'knee-jerk' but also that it was difficult to separate truth from speculation in Saudi Arabia.

'They are saying 50 per cent back now and 100 per cent by the end of the month.

'How much of that is propaganda and how much is truth? Goodness knows what is going to happen tomorrow.'