Posted on 07 Feb, 2009 08:07
<TABLE cellSpacing=0 cellPadding=0 width=530 align=center border=0><TBODY><TR><TD>Petrol prices in S'pore: Why the inconsistencies?
A STOMPer wrote in to question why pump prices locally remain high, despite what he feels is global stability of crude oil prices, and calls for oil companies to be more consistent in their pricing.
Ryan wrote in on Feb 6, and said:
"I am writing in to request for the oil companies to stand up and justify the inconsistencies in their pump prices.
"I was completely shocked when the pump price in Singapore increased for a 2nd time in a month in year 2009. The first time the pump price went up was on 7 Jan 2009, at 4 cents/litre and this was followed by a 5 cents increase on 29 Jan 2009.
"All these increases are carried out despite the slowing economy and the stability of the worldwide price of the crude oil, which till now still hovers around USD40. All along, oil companies have been stating that the pump prices are due to:
# Internationally-traded wholesale fuel prices
# Excise duties and goods & services tax (GST)
# Currency exchange rates
# Operating and capital costs (eg, land cost)
# Market competition
"Based on the above factors, international fuel price is now at all time low, GST has not increased, slight exchange in exchange rates USD against SGD, land cost (has it increased) and market competition (it's a fix price in SG), what prompted the increases for these 2 times?
"According to a Shell spokesperson quoted in a local paper:"Shell recognises that pump prices are of great concern to our customers. As always, we consider very carefully the many factors contributing to pump pricing before deciding on any changes.
"“Shell always strives to pass savings back to customers -- during the second-half of 2008 when oil prices sky-rocketed to an all-time high and then fell, we initiated 14 price cuts to bring prices down for customers."
"During this time, even the government is digging into the reserves to help out Singaporeans. How can the oil companies increase their pump prices without any justifications? And when is the government going to jump in to ensure fair trade?
"To all drivers, what we want is simple. Fair prices. If Malaysia can provide petrol at half our pump prices, I don't see why the prices keep increasing in Singapore.
"If the government cannot stand in to ensure fair pricing, they should at least remove the 3/4 tank rule temporary for Singaporeans to cut cost, to save more during this economy downturn. Otherwise all the monetary help from our reserves will end up with the oil companies, and do remember, some people do need a car."
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<TABLE cellSpacing=0 cellPadding=0 width=530 align=center border=0><TBODY><TR><TD>Petrol prices in S'pore: Why the inconsistencies?
A STOMPer wrote in to question why pump prices locally remain high, despite what he feels is global stability of crude oil prices, and calls for oil companies to be more consistent in their pricing.
Ryan wrote in on Feb 6, and said:
"I am writing in to request for the oil companies to stand up and justify the inconsistencies in their pump prices.
"I was completely shocked when the pump price in Singapore increased for a 2nd time in a month in year 2009. The first time the pump price went up was on 7 Jan 2009, at 4 cents/litre and this was followed by a 5 cents increase on 29 Jan 2009.
"All these increases are carried out despite the slowing economy and the stability of the worldwide price of the crude oil, which till now still hovers around USD40. All along, oil companies have been stating that the pump prices are due to:
# Internationally-traded wholesale fuel prices
# Excise duties and goods & services tax (GST)
# Currency exchange rates
# Operating and capital costs (eg, land cost)
# Market competition
"Based on the above factors, international fuel price is now at all time low, GST has not increased, slight exchange in exchange rates USD against SGD, land cost (has it increased) and market competition (it's a fix price in SG), what prompted the increases for these 2 times?
"According to a Shell spokesperson quoted in a local paper:"Shell recognises that pump prices are of great concern to our customers. As always, we consider very carefully the many factors contributing to pump pricing before deciding on any changes.
"“Shell always strives to pass savings back to customers -- during the second-half of 2008 when oil prices sky-rocketed to an all-time high and then fell, we initiated 14 price cuts to bring prices down for customers."
"During this time, even the government is digging into the reserves to help out Singaporeans. How can the oil companies increase their pump prices without any justifications? And when is the government going to jump in to ensure fair trade?
"To all drivers, what we want is simple. Fair prices. If Malaysia can provide petrol at half our pump prices, I don't see why the prices keep increasing in Singapore.
"If the government cannot stand in to ensure fair pricing, they should at least remove the 3/4 tank rule temporary for Singaporeans to cut cost, to save more during this economy downturn. Otherwise all the monetary help from our reserves will end up with the oil companies, and do remember, some people do need a car."
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