ACAPMA recently met with Consumer Affairs Victoria (CAV) regarding compliance and improvements that could be made to the government’s Fair Fuel Plan and Servo Saver app just over a year since the regulations were gazetted.
During the consultation, CAV were interested to learn the administrative burden that is placed on retailers to comply with the fuel price reporting obligations.
Discussion also covered the 6am scheduled price start and the burden this placed on retailers, especially on weekends. The inability the immediately rectify or recall incorrectly entered prices was also raised.
Further, to ensure compliance, retailers are encouraged to notify CAV if they have entered and incorrect price due to human error or technical fault. This is complicated because the support team behind the Service Victoria app are not present for some hours after the 6am price time.
CAV assured ACAPMA that their approach to compliance is to work cooperatively with industry with
Industry was assured that this restriction would be rectified in the second version of the Service Victoria API and portal however unfortunately no progress or update was able to be provided to ACAPMA.
ACAPMA was able to provide evidence at the consultation that over the past six months the mandatory price cap and scheduled price reporting has had no benefit to consumers. All that has been achieved is an administrative burden on fuel retailers which inevitably will be reflected one way or another with the price paid at the pump.
As an industry, fuel price transparency schemes are fully supported. They have become part of daily operations and the ACCC has consistently highlighted that the broad and easy availability of real time data has been key in price sensitive customers getting the best deal.
However, the Victorian scheme of price cap reporting and trading only downwards during a 24 hour period has done nothing to help consumers. This is not because of the design of the scheme, but simply because market interventions such as this and the one in Western Australia have been shown not to work.
ACAPMA and CAV agreed to reconvene the consultation following the state election on November 28.
ACAPMA
