CCPC analysis of fuel price movements
The CCPC conducted an analysis of the retail motor fuel sector during March 2022. Petrol and diesel retail prices rose sharply at this time, as did international prices. The Irish Government announced a “temporary reduction” of excise duty charged on petrol and diesel, which took effect on midnight 10 March 2022. At this time the CCPC received a large number of complaints by consumers and examined the sector as a result.
In its final report, the CCPC outlined findings as a result of its research, market surveillance and premises inspections, conducted in the context of its competition and consumer protection remit. Summary findings include:
- Rising international prices drove increases in prices at the pump in the period leading up to the excise cut rather than a lack of competition
- The CCPC found no indication of co-ordinated pricing behaviour in the data for those stations where we received complaints
- International evidence indicates that excise cuts take time to work through a market and are often not seen immediately
- The analysis of volumes sold by brands indicates consumers shopped around and this was made possible by compliance with the price display regulations as observed by the CCPC
- The analysis shows no indication of co-ordination with regards to the level or timing of the excise cuts being passed on
- Average retail spreads observed during the period of analysis were not excessive in comparison to the market’s longer-term retail spreads
Attachments:
Analysis of the Irish Retail Motor Fuel Market
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