Fed: FuelWatch does not reduce petrol prices: Bishop

AAP General News (Australia)
04-20-2008
Fed: FuelWatch does not reduce petrol prices: Bishop

CANBERRA, April 20 AAP - The FuelWatch experience in Western Australia has not resulted
in cheaper petrol prices, but has reduced competition, the federal opposition says.

The federal government's planned national FuelWatch scheme, modelled on the current
WA scheme, will force petrol retailers to announce their prices, at 2pm, for the next
day and will inform motorists where they can buy their petrol at the lowest possible price.

"FuelWatch has been in place in Western Australia for many years. It does not reduce
the price of petrol," Deputy Opposition Leader Julie Bishop told the Nine network.

"It does reduce competition."

The WA MP gave an example where a petrol retailer locked in the wrong price, putting
it much higher than they otherwise would have.

"It was just a typo and that retailer was forced under the scheme to sell petrol for
the next 24 hours at that much higher price," she said.

"Hapless motorists at the petrol station were paying a price that everyone knew was a mistake."

She said there was also a situation on which a retailer was fined $5,000 for selling
petrol below the advised price.

Ms Bishop said giving motorists more information was a good thing, but the opposition
wanted a guarantee the scheme would not increase the price of petrol before it supported
it.

She said Prime Minister Kevin Rudd had campaigned on a platform of lower petrol prices
and the opposition wanted to hold Labor to its promise.

"The fact is it was a dishonest campaign but he said it, he campaigned on it and we
want to see what he does in the budget for people who are suffering under higher petrol
prices."

AAP cb/jt/cdh

KEYWORD: PETROL BISHOP

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