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AAP News (Australasia): SA: Motor club urges a second look at petrol vouchers

ADELAIDE, Aug 29 AAP – South Australia’s motoring body has called on the consumer watchdog to reinvestigate the impact of supermarket discount vouchers on competition in the petrol market.

In its submission to the petrol price inquiry, the Royal Automobile Association (RAA) said while the Australian Competition and Consumer Commission (ACCC) had already reported on discount vouchers, significant market share had since been gained by Coles and Woolworths through their affiliations with Shell and Caltex.

“The ACCC must reinvestigate the impact such schemes are having on the industry and their impact on competition in the long term,” the RAA said. The motoring group also urged the ACCC to regularly report on movements in fuel industry prices, costs and profits and called on federal and state governments to recognise the impact of rising petrol prices on the public.

“With motorists now spending more of their income on petrol than they were five years ago, as increasing fuel costs continue to outstrip wage increases, governments must acknowledge that higher petrol prices are not simply a function of higher oil prices,” the RAA said.

“Governments must develop a range of alternative fuels such as liquid petroleum gas, compressed natural gas and biofuels as a means of reducing dependence on fossil fuels.” The RAA said market forces should dictate petrol prices, reflecting the cost of production and supply and the level of competition.

It said it did not support the concept of retail price capping and believed a free and open market best served the interests of consumers. However, it said governments must monitor the industry to address unjustifiable and excessive differences, especially between metropolitan and country areas.

“Recent survey results show that the motor vehicle continues to be an integral part of most South Australians’ lives with motorists extremely concerned about the rising cost of petrol,” the RAA said. “Most motorists, however are reluctant to forgo driving as a result of higher petrol prices, but instead spend less money on other essential and discretionary items. “It is because of this that a competitive petroleum industry must exist throughout Australia with those within the industry operating in a transparent manner.”

The ACCC inquiry is due to report to Treasurer Peter Costello by October 15. and its sister websites,,,,, and are all owned by John Donovan. There is also a Wikipedia article.

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