Cost of Petrol

B

bigbadostric

Registered User
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Following the price of oil reducing we were told the price reductions take a while to kick in due to petrol processing methods. Now that they go up again prices are once again going through the roof, immediately.

Why is nothing being done about this?
 
Good question, there seems a definite cartel in operation here which goes unchallenged. The oil prices seem on there way up again but the euro-US dollar exchange rate has improved in our favor which should soften the rate of price increases at the pump but this has not happened:mad:
 
This kind of price increase bugs the hell out of me as there seems to be no reasonable excuse offered.

July 08 - Crude Oil hit an all time high of $147 per barrel - at the pumps , we were paying approx. €1.30 - €1.35 per litre - the reason seemed plausable although still expensive.

Since then Crude oil dropped to approx €40 per barrel in March 09 (approx. 66% reduction in price) - at the pumps in March we were paying approx. €1.05 - €1.10 - (approx 20% reduction)

Presently Crude Oil is trading at $70 per barrel (approx. 45% increase on March's price) - at the pumps we are paying €1.15 - €1.25 (10% increase on March's price) - this is the reason Petrol companys will tell you why the price at the pump has gone up AND they'll actually try and make out they're doing you a favour by not passing on the 45% increase they have to endure - however in doing so , they will not highlight the massive price reduction they didn't pass on in March 08.

It should also be noted that from Mar 09 - June 09 the Euro has strenghtened against the Euro by about 8% - which favour the Petrol companys here ....


Maybe Im being to simplistic but its the reason offered when they increase prices so why does the same logic not apply to reducing prices ?
 
What price seems to be the norm around the country? In Athlone its between 114.9 - 116.9
 
Has jumped to 120-122 around South Dublin / Wicklow. No controls over this, maybe forget the banks and nationalise the petrol station, profit to be made there!!

With the epidemic of Topaz stations nationwide has anyone noticed either an increase in local competition or sensed a monopoly at work?
 
To be fair, we (the people) are our own worst enemies. On my way home, I pass a spot where two petrol stations face each other. One is usually about 1 or 2c lower than the other yet there are people filling up in both stations. Why aren't we shopping around and making the owners of these petrol stations compete for our business???....
 
Only after reading this post did i actually check my petrol reciepts. I usually just go to the same place fill up, pay and then go. I should really pay more attention.

Yesterday i paid 1.16, week before that i paid 1.13, and the 2 weeks before that i paid 1.07.

I'm in north county dublin, so compared to Sconhome i'm not doing to bad.
 
There is a fixed figure per litre of petrol and diesel for excise duty. (not sure how much but I think it is substantial). This needs to be excluded when comparing % increases or decreases in the cost of crude oil and the price at the pump.

There is also a supply issue... in the summertime the demand in the USA is very high, therefore prices will rise accordingly.
 
Bear in mind that fuel duty increased by 8c per litre in the October early budget.

I always check the price. I pay 112.9 for petrol in Sligo.

Factors that affect the retail price:
  • price of crude
  • EUR-USD exchange rate
  • wholesale petrol price in Rotterdam
  • excise duty
  • VAT
  • local competition
 
I post on pumps.ie and also provide forward price estimates for petrol, diesel & home heat.


I've been doing it for about a year (weird hobby of mine) and I've been rather accurate. Despite what people perceive, it quite true that rises in world prices take about 2 weeks to follow through to the pumps, both increase & decreases.


Also due to the minute margins in petrol retails (2 -3 c for many garages) the prices will change very regularly as the refined price changes on a daily basis.

To give a quick example, current cost of petrol is 38c / litre delivered to port, add in 50.79c duty and approx 11c distributor & retailer costs and then add 21.5% vat. this equates to approx. €1.22

[broken link removed]
 
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