Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Pump prices higher now than when oil prices peaked

Hon Jim Anderton
Deputy Prime Minister

22nd May 2000

News Release

Pump prices higher now than when oil prices reached their peak

Deputy Prime Minister Jim Anderton has criticised Shell for increasing its prices today saying that petrol is now 5 cents a litre more expensive than it was when crude oil prices were at their peak.

"We are paying 5 cents more for our petrol than we were three months ago when crude oil was more expensive than it is today," Deputy Prime Minister Jim Anderton said

"Over the last three months crude prices have gone down and then increased again to close 8% lower than they were. In the same period petrol prices at the pump fell by 6% and then increased by 12% to close 5% higher then they were.

"On the 7th of March crude oil prices were at their highest for years at $65 NZ. Petrol sold for 102.9 cents a litre at the pump.

"Today crude oil is at $62 NZ, still lower than the 7th of March. But Shell has put the price of petrol up to 107.9 cents a litre, which is 5 cents higher than it was on the 7th of March. Crude oil prices are lower then they were then, but petrol costs more.

"Petrol companies also seem to take a long time to decrease their prices when crude oil prices fall, but increase their prices quickly when crude oil prices rise.

"Crude oil prices were at their high on the 7th of March. They started to fall away on the 9th of March. It wasn't until crude oil prices had decreased by 20% that we got a 2% decrease in petrol prices on the 22nd of March. This meant the oil companies were selling petrol at the March 7th highs for two weeks more than they needed to.

"Now we see prices increasing at a much greater rate than they decreased. The last two petrol price increases have wiped out the last five petrol price decreases.

"Even discounting movements in crude prices, and assuming petrol companies don't take any cover for currency fluctuations, it seems strange to me that petrol companies always seem to put their prices up at the same time by the same amount.

Just last week energy analyst Alan Jenkins said;

"Petrol prices have all gone up by a huge chunk. You would have though some would've decided to undercut the others. An even leap tells you that they're putting a value on uniformity.

"For petrol companies to put their prices up in unison means they have to the same overheads and price structures. This cannot be the case," Jim Anderton said.

"My Ministry is looking into petrol prices and will be reporting to me shortly on the Carter Holt anti-competitive behaviour decision and whether it has application to petrol prices," Jim Anderton said.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Werewolf: What Does Winston Peters Want His Legacy To Be?

A lot of people in New Zealand seem to resent Winston Peters and the power that he appears to have. “Appears” being the operative word. In reality, Peters will have power only up to the point that he uses it.

By next week, he’ll have become just another junior player in an MMP governing arrangement, battling to hold onto the gains he was promised. More>>


Rising Toll: Road Safety Needs To Be A Higher Priority

Official advice released to the Green Party under the Official Information Act shows that the previous National Government dismissed an option to make road safety its most important transport priority after being told the road toll was rising. More>>


Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>


Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>


Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>


Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>


Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>


Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>




Featured InfoPages

Opening the Election