ACAPMA has recently participated in a formal consultation on e10 Market Monitoring for NSW IPART.
While ACAPMA is largely agnostic when it comes to the distribution, wholesale, and retail of various types of liquid fuels. However, we are strongly opposed to measures that increase costs on these businesses without any apparent justification or benefit.
The E10 mandate has been in place for almost 20 years. It is worth remembering that when the mandate was introduced in 2007 it was set at 2%, then increased to 4% in 2010 and then 6% in 2011. None of these increases in the mandate resulted in greater take up of E10 because of the baked in consumer resistance.
Despite legislative and regulatory changes, public education campaigns and even the removal of U91 in 2012 (which was quickly reversed) has failed in E10 meeting its mandated targets. The launch of FuelCheck and the requirement for E10 prices to be posted on sign boards in 2016 making the availability of E10 even more visible to consumers failed to have any impact on buying behaviours.
Fundamentally, ACAPMA is opposed to placing responsibility on retailers for customers’ independent purchasing decisions and are concerned about the ongoing costs retailers incurred in stocking and promoting E10, and the administrative time in applying for exemptions.
The NSW E10 mandate continues to expose the limits of regulating supply to generate demand.
Submissions
Explore the ACAPMA submissions here.
Members are encouraged to reach out with comment to communications@acapma.com.au
ACAPMA
