WHAT: Launch of ‘Blacktown Amendment’ Private Members Bill to end geographic price discrimination.
WHEN: 11am Thursday 21st May, 2009.
WHERE: BP Blacktown, 162 Sunnyholt Road, Blacktown, New South Wales.
Nationals Leader in the Senate Barnaby Joyce and Independent Senator Nick Xenophon will be joining independent oil retailer Marie El-Khoury at her BP service station to launch a Private Members Bill designed to end the anti-competitive practice of geographic price discrimination.
Geographic price discrimination is where the big oil companies and Coles and Woolworths reduce prices at sites around independent fuel retailers to drive them out of the market. The big chains can afford to do this because they charge higher prices at other sites.
“The ‘Blacktown Amendment’ will require the big oil chains and Coles and Woolworths to charge the same price for the same product in the same geographic region,” Senator Joyce said. “This will stop big oil from using their market power to drive independent fuel retailers like Marie out of business.”
“Independents like Marie provide much needed competition to the big oil companies,” Senator Xenophon said. “If we allow the little guys to be driven out of business, big oil will be able to charge whatever they want for fuel”.
The Private Members Bill will require the oil chains and Coles and Woolworths to charge the same price at any location that is within 35 kilometres of another of their sites.
“This is about providing protection for independents and consumers,” Senator Joyce said. “The independents don’t want a special deal, they just want a fair deal.”
Senator Joyce will be urging his coalition partners to support the Private Members Bill. “I’m sick and tired of the big oil companies and Coles and Woollies crossing the line when it comes to petrol,” he said.