Nick Sherry (Tasmania, Australian Labor Party, Minister for Superannuation and Corporate Law) Share this | Hansard source

Thank you, Senator Fielding. As we have always said, whether in government or in opposition, world oil prices are the biggest contributor to the prices we pay at the pump. That is the very reason why this government believes that it cannot sit on its hands and do nothing—that was the response of the previous government—and it has not. After some 11½ years under the previous government, we have acted in order to ensure greater transparency and competition in the market. We have had, for the past decade, inaction on this critical issue. It was only after pressure from the current government that the former Treasurer—I was almost about to say the former member for Higgins but that is for the future—reluctantly agreed to an inquiry into petrol prices. Unlike the previous government, we will not simply sit on our hands and ignore the pressures on hardworking families. I know Senator Fielding’s long interest in this issue and I acknowledge his active concern for hardworking families and the impact of petrol prices.

Let me move to issues leading up to Easter and the long weekend. This will be the first time that the ACCC, under Mr Samuel, has formal monitoring powers. That has never existed before. These powers will put serious pressure on companies to think twice before hiking up petrol prices before and over the long weekend. As I say, it is the first time these powers have been given to the ACCC. These powers are important, and relevant because of the alleged activity by some petrol stations over the last few days. There have been some very serious allegations made. The allegations include that consumers are driving into petrol stations that are advertising cheaper unleaded petrol only to find all the pumps are out of order and their only option for filling up is with the more expensive premium unleaded petrol. I can report to the Senate that the ACCC is working with the Office of Fair Trading in Queensland and the Department of Fair Trading in New South Wales to investigate this particular section of allegations. Over recent days the ACCC, under the firm direction of Mr Samuel, has almost 50 inspectors from the ACCC and also inspectors from the states actively monitoring petrol stations and they will be inspecting over the Easter period. To find out if this activity is occurring, the ACCC chair has said:

What we can do is if we see a service station that had no fuel available on Tuesday but has it available on Wednesday, we could ask to see the delivery dockets and if they don’t have them you’d want to then ask how they’ve suddenly made available fuel overnight.

There are also allegations that this practice is happening in clusters or groups of petrol stations. The government warns these companies, in the strongest terms, that there are fines for collusion that can total more than their yearly earnings. The Senate will also know that the government has acted quickly to release its draft legislation to criminalise cartel conduct, something the former government refused to do in over 11½ years in office. The former government refused to act in this area. (Time expired)