Discount dispute
An elderly driver is accusing Z Energy of cheating customers by raising prices just before offering a discount.
Graham Dalzall said he received an email from Fly Buys offering a 10 cent discount at Z Energy on September 11.
The everyday discount for Fly Buys members was 6c.
However, when Dalzall looked on fuel price app Gaspy, he found there had also been a 4c increase in petrol prices across the Z Energy petrol stations in south Auckland.
Dalzall said he had noticed the price increase on previous discount days, too.
‘‘When I knew the Super Pumped Day was happening, I went on Gaspy and saw the price had increased to $2.21. It was $2.17 a litre the day before.’’
He said it stayed that price all day but when he went for his evening walk, the price had dropped back down.
‘‘It surprises me that they would be doing that sort of thing. I think it’s totally wrong.’’
Other customers had used Z Energy’s social media accounts to express frustration over the issue.
Z Energy spokeswoman Georgina Bell said discount days were decided well in advance and were not related to pump prices.
‘‘The discounts for Super Pumped Days, like the one that was on offer yesterday, are decided separately of the pump price, by a separate team and happen every week. Some days the pump price will go up and some days it will go down, and either of these scenarios can coincide with a Super Pumped discount day.’’
Z Energy has issued a profit warning yesterday ‘‘in large part due to unprecedented discounting’’ during July and August.
The company says its profit before tax will be $60 million lower than previously forecast. It now expects the profit for the year to March 2020 to be between $390m and $430m.
‘‘Prices also fluctuate frequently and vary from suburb to suburb and town to town due to local price board competition,’’ Bell said.
AA PetrolWatch spokesman Mark Stockdale, said the organisation had received complaints regarding petrol price increases coinciding with promotions.
Some of the people who had contacted AA had seen a lower price a week before the scheduled discount but didn’t take notice of subsequent price fluctuations, Stockdale said.
‘‘On other occasions there has been a price change immediately prior to a discount, that is something we have heard happening.’’
Stockdale said there were a lot of discount options available for New Zealand consumers.
‘‘But not all motorists will be taking advantage of them because they might find it hard to shop around and get the best price. Those that do take advantage of them, if you really do want to reduce your fuel bill, there are some very good deals to be had. But you do have to put in the effort.’’
The Commerce Commission’s market study into the retail fuel sector found ‘‘higher discounts [were] associated with higher retail board prices.’’
The preliminary report was released on August 20.
A commission spokesman confirmed it had received two complaints relating to petrol price rises coinciding with loyalty scheme reward offers.
The complaints had yet to be assessed.