The Commerce Commission is also concerned about fuel prices in Whangārei after finding petrol prices were higher, and rising faster, than in similar cities in 2024.
Whangārei Mayor Vince Cocurullo said the high fuel prices are very concerning for most motorists and give the impression motorists are being persecuted for living in the north.
“The fuel companies have got a chokehold in Northland ... We’re not getting the best end of the stick,” he said.
Whangārei motorists are feeling pain at the pump, with prices rising higher than in similar cities. Photo / NZME
According to the app Gaspy, the price per litre of 91 in central Whangārei was $2.699 at Allied Whangārei and $2.709 at nearby Gull Whangārei on Friday.
The remaining stations in central Whangārei had less than 2c separation, between $2.887 and $2.899. This is more than 20c per litre more than unmanned Gull stations at Kaiwaka and Wellsford, which were $2.649 on Friday.
One Whangārei motorist, who wished to be known only as Brett, said he found petrol prices “incredibly low” during a recent trip to Christchurch.
“Compared to other areas of the country, we are getting ripped off.”
Brett said the prices in Whangārei were unjustified, and were more expensive than in Kaikohe and Kaitāia, despite the transport costs to the Far North.
In late December, Cocurullo complained to the Commerce Commission that the high prices could be discouraging people from moving north.
In a response on Friday, the commission confirmed Whangārei was charged more for 91 octane petrol than Dunedin, New Plymouth and Hamilton – comparable regional centres close to fuel terminals.
While the commission’s study in May 2024 found competition from the unmanned Allied Fuel station had driven prices down in Whangārei, its most recent investigation found those savings did not last.
“Our findings show that the difference in fuel prices between Whangārei and these other centres has increased during 2024. We cannot identify a specific cost-based reason for this difference in prices, nor for the recent increase in these differentials.”
The commission said Dunedin and New Plymouth have more unstaffed petrol stations which are not linked to a supermarket and said this competition could be the reason for the difference.
It pointed to Gull’s resource consent application for an unmanned station in Te Kamo, which was withdrawn after public opposition in December 2023, saying the competition would have benefited consumers.
The commission told Cocurullo that if Whangārei District Council wanted to improve competition in the retail fuel market, it could “facilitate the entry of competitors” who wanted to set up unmanned fuel stations.
Whangārei Mayor Vince Cocurullo says motorists are not getting a fair deal at the pump. Photo / Michael Cunningham
Cocurullo said while new businesses and residents are always encouraged to come to Whangārei, the council, as a regulatory body, would be overstepping if it got involved in facilitating any development.
The council’s district plan already outlines where petrol stations are allowed to go, he said.
Cocurullo said he shops around for the best fuel prices using the Gaspy app and he encouraged his constituents to do the same.
Automobile Association NZ Northland council chair Tracey Rissetto believed the problems with Whangārei’s high fuel prices are about more than not having unmanned sites, with manned stations in Wellsford being 15c cheaper than in Whangārei.
She too encouraged motorists to shop around by using an app like Gaspy but also suggested using supermarket discounts and loyalty points as much as possible.
“Send your consumer dollars to those service stations that are looking after you.”
Denise Piper is a news reporter for the Northern Advocate, focusing on health and business. She has more than 20 years in journalism and is passionate about covering stories that make a difference.
