Petrol price similarities not necessarily collusion, ACCC says.


Australia's competition watchdog has told a Senate hearing that neighbouring petrol stations putting up prices at the same time is not necessarily evidence of collusion.
The Senate inquiry into petrol is hearing evidence on a range of issues including regional price differences and the relationship between crude oil and fuel prices.
The Australian Competition and Consumer Commission (ACCC) chairman Graeme Samuel has told the committee that petrol price changes can simply be a reflection of competition or retailers trying to increase their profits.
"You'd expect that with something that's as visible as the pricing of petrol, where one party lifts its price that another party will, that's over the road, will look and say well if they're charging 149, well I might as well follow, but what I might do is charge 148.5 to try and attract the customers into my station," he said.
The ACCC says the international price for refined petrol has been the key driver for high petrol prices in Australia.
ACCC chairman Graeme Samuel has told the inquiry that international factors influence increases in petrol prices as well as falls.
"There is a - with about a week to 10-day time lag - a direct correlation in broad consistent terms, a direct correlation occurring between the international factors identified, which is crude oil prices, refining margins, the Australian-US dollar exchange rate and the Australian, average Australian retail prices," he said.
The Senate inquiry into petrol prices was established by Labor with the support of Nationals Senator Barnaby Joyce.
Liberal Senator George Brandis will chair the investigation, and he says it will examine claims of price fixing.
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