Shopper docket schemes threatened

Petrol shopper docket schemes could be scrapped if Australia's consumer watchdog rules they are pushing up fuel prices.

There is growing industry concern the schemes used by millions of supermarket shoppers to get 4 cents off per litre for their fuel bills may have backfired on motorists.

Independent petrol companies and service stations, which blame shopper dockets for driving them out of business, have appealed to the Australian Competition and Consumer Commission.

They argue the popular schemes are eroding competition and contributing to motorists being ripped off at the bowser.

In Brisbane, supermarket affiliated petrol stations control an estimated 70 per cent of the unleaded petrol market. Skyrocketing petrol prices, which are biting household budgets, have become an election issue.

An inquiry into the price of unleaded petrol was launched by the ACCC in June, which is also examining the structure of the industry, the extent of competition and barriers to 'efficient petrol pricing.' In its submission to the inquiry, Australia's largest independent petrol retailer United Petroleum said the shopper docket had lead to supermarkets "absolutely dominating" the retail market.

“The ACCC must take steps to even up the playing field,” it said. It recommends the watchdog either scrap the scheme or restrict the discount to such a level that it cannot be used as a “predatory tool.”

Analysis by Professor Joshua Gans, from Core Research, also raises doubts about the benefits of shopper dockets to motorists.

“I urge the ACCC to take another look at these shopper docket schemes and use the data available to them to see whether these have improved or reduced the overall benefits of competition in petrol retailing,” he said.

The Motor Trades Association of Queensland said the domination of the market by supermarkets and oil majors was impacting on “genuine sustainable competition”.

It also expressed concern about the reduction in the number of service station outlets in small country towns, especially on major western highways.

Dannie and June O'Connell, both 56 from Graceville, filled up their four-wheel-drive yesterday at a northern suburbs petrol station.

The couple said they “benefited” from the discount petrol vouchers. “But we're not under any illusions that you pay more for your groceries to counteract for the fuel prices,” Mr O'Connell said.