The Government is proposing to accelerate the passing of law which will enable a fuel market study to occur sooner rather than later.
Z Energy, Chief Executive Mike Bennetts, said, “Consumers are seeking assurance that prices are fair and the market is competitive and we believe that a Commerce Commission market study is the most sensible way forward. It’s important to have an objective agency who can compel data, with people who have the skills and knowledge to interpret that data and investigate the market fully.”
While margins have increased from an unsustainable level in 2008 which saw fuel majors exit New Zealand, it has not increased at the level suggested. Nonetheless prices are unjustifiably high, disputes Z.
It is not Z’s profit margin that have driven up current fuel prices but increasing crude oil costs, a weakening exchange rate and additional taxes.
Mike said that as a listed company, Z will release its half year financials in early November. “We look forward to sharing an audited, exact view of our profits with the public then. Z believes the fuel market is highly competitive, but the way to satisfactorily demonstrate this and give consumers the confidence they need is to have the level of transparency that a market study can bring. Z cooperated fully with the MBIE led market study, and we will cooperate fully with the Commerce Commission.” PWKD10102018