An enforcement investigation has been launched into all major fuel suppliers over diesel availability. Photo: James Coleman.
The Australian Competition and Consumer Commission is going after the major fuel suppliers for suspected foul play following the outbreak of war in the Middle East.
The competition watchdog has launched what is known as an enforcement investigation into allegations of anti-competitive conduct by Ampol Ltd, BP Australia Pty Ltd, Mobil Oil Australia Pty Ltd, and Viva Energy Australia Pty Ltd (which owns the Shell and Liberty brands).
The ACCC received reports concerning diesel availability to independent wholesalers and distributors servicing regional and rural Australia.
An enforcement investigation is a formal process conducted by regulatory bodies to identify breaches of law and gather evidence to determine appropriate actions, which can include prosecutions.
The Commission’s chair, Gina Cass-Gottlieb, said the investigation would assess the alleged conduct.
“The ACCC is closely scrutinising all fuel markets during this period, and we have received reports of alleged anti-competitive behaviour,” she said.
“We are therefore investigating these matters urgently.
“It is not our usual practice to publicly announce investigations, but given the significance of the issue, the ACCC is confirming this enforcement investigation.
“We recognise the widespread concerns held by consumers, businesses and farmers about fuel pricing and supply issues arising during the Middle Eastern conflict.
“It is important that fuel market participants and the community know that we are closely watching market conduct in relation to all fuels and we will not hesitate to act swiftly to enforce Australia’s competition and consumer laws.”
Ms Cass-Gottlieb said the investigation is only at a preliminary stage, and therefore no view has been formed about these matters.
The ACCC’s next weekly monitoring report of fuel prices in Australian capital cities will be published tomorrow (20 March). This will include prices in 190 regional locations.
As an independent statutory government authority and Australia’s peak consumer protection and competition agency, the ACCC can autonomously use a range of tools to promote and enforce compliance with the Competition and Consumer Act.
The competition watchdog has announced it is investigating allegations of anti-competitive conduct by major fuel suppliers in regional Australia.
Opposition Leader Angus Taylor has welcomed the investigation, saying it should be taken “very seriously”, adding that he believed the Federal Government was not acting decisively enough over fuel shortages in the regions.
“Whether they’re retailers or distributors, the government needs to lean on them and make sure the fuel is getting to the customers, getting to those hard-working farmers, getting to those truckers, and that’s not what the government has done,” Mr Taylor said.
The Opposition Leader would not comment on what penalties should be applied to fuel suppliers who may be found to have been gouging customers.
Meanwhile, Anthony Albanese has named former CEO of the Australia Energy Regulator and former CEO of the Energy Security Board, Anthea Harris, as the nation’s Fuel Supply Taskforce Coordinator.
The Prime Minister made the announcement following an emergency meeting of National Cabinet on Thursday.
Ms Harris will be responsible for leading a new taskforce being established in the Department of Prime Minister and Cabinet.
Anthea Harris has been appointed Fuel Supply Taskforce Coordinator. Photo: AER.
She will be tasked with driving coordination between federal state and territory governments on fuel security and supply chain resilience, and providing consistent updates to all jurisdictions.
Her taskforce will act as a single convening point for fuel supply and forward planning, and will support state and territory governments in getting fuels to their regions.
“I want to reassure Australians, Australia is well prepared,” Mr Albanese said following National Cabinet.
“Our fuel supply is currently secure, but I want us to be over-prepared.
“Anthea Harris is the right person to lead the work across governments, ensuring fuel supply remains resilient, and challenges coming from the Middle East are dealt with here in the Australian way – looking after each other and facing problems together.”
Original Article published by Chris Johnson on Region Canberra.
