Servos now show full prices for a fill

THE RACT has called on fuel retailers across the state to only display undiscounted prices on boards.

A law change in effect since yesterday means boards must display the price of fuel before applying any discounts such as supermarket coupons or the RACT member discount.

RACT spokesman Darren Moody said in the past inconsistent price-board information had made it difficult for motorists to compare prices or even to know what they would pay when filling up.

Woolworths/Caltex service stations are displaying signage alerting motorists that an eligible discount would mean a lower price paid per litre.

Tasmania’s 14 Woolworths service stations have added a red strap on their boards stating prices are before discount.

A Woolworths spokeswoman said the chain had removed discounted prices from boards in Tasmania in line with other states where similar legislation had been introduced, including NSW and Victoria.

Building and Construction Minister Guy Barnett said petrol was a major household cost.

“Changes to the Code of Practice for Fuel Price Boards will make it easier for Tasmanian motorists to accurately determine the price of fuel,” Mr Barnett said.

“From May 7, 2018, service stations will be required to advertise the full price of fuel, rather than the discounted price, on petrol price boards.

“Legislation to change Tasmanian consumer law was passed late in 2017, and has the support of key stakeholder groups including the RACT and TCCI.”

In December the Australian Competition and Consumer Commission blocked a proposed $1.8 billion acquisition of Woolworths petrol sites across Australia by BP Australia.

RACT executive general manager membership and community Stacey Pennicott said the decision meant there would be no further lessening of competition in Tasmania.

ACCC chairman Rod Sims said the price watchdog believed fuel prices would likely increase at the Woolworths sites if BP acquired them.

“Other retailers would then face less competitive pressure. The bottom line is that we consider motorists will end up paying more, regardless of where they buy fuel, if this acquisition goes ahead,” Mr Sims said.

The law change comes as retail prices have crept over 150 cents per litre for unleaded petrol. The wholesale price, known as the terminal gate price, in Hobart is 137.5c a litre.

The latest weekly pricing report from the Australian Institute of Petroleum shows Hobart prices rose by 0.9c per litre over the week to 151.2c. This compares with a national average price of 146.3c and 136.3c in South Australia.