A Rotorua service station that usually charges 4c a litre more than elsewhere is under fire for not displaying its petrol prices on its roadsign sign.
Mobil Westbrook Service Station's actions have upset Westbrook resident Ron Kirby, who believes the lack of prominent pricing makes it difficult for motorists to make an informed decision.
But consumer watchdogs say the service station has done nothing wrong and motorists upset about the change should simply take their business elsewhere.
Mr Kirby no longer fills up at Mobil Westbrook after noticing petrol prices displayed on the station's fuel pumps were usually 4c a litre dearer than elsewhere. He contacted The Daily Post to highlight the issue.
"They offer 4c off with a supermarket voucher so you end up paying the same price [as other stations]. It is an underhanded and sneaky way of getting customers."
The Mobil Westbrook Service Station was charging 156.9c a litre for standard unleaded petrol when The Daily Post visited yesterday. Mobil Reid and Mills on Fenton St was charging 152.9 for the same product. Diesel was the same price at both outlets at 103.9c.
There were signs at the Westbrook station offering to honour supermarket vouchers to the value of 4c a litre and also a 12c a litre discount with instructions to ask inside the store for conditions.
People qualify for the higher discount if they spend $40 worth of goods in store.
The station also operates a random "happy hour" each day, Monday to Friday, providing motorists with cheaper unleaded 91 and unleaded 95 petrol than any other station in Rotorua.
The discount is normally 4c a litre off what other stations are charging - the equivalent of 8c a litre off the fuel price displayed on its pumps. Staff advertise the happy hour by activating an orange flashing light next to the forecourt.
Felicity Connell, a senior communications adviser for the Commerce Commission, said the lack of prominent signs was not a breach of the Fair Trading Act.
"There is no obligation for businesses to display prices - but any prices displayed cannot be misleading."
She said there was no problem with offering supermarket discount vouchers that brought the price back to the same level as other stores so long as it was a genuine discount on the standard price at the service station in question.
Consumer NZ testing manager Hamish Wilson said the issue was another example of "buyer beware".
"Our advice is to buy petrol from stations which are up front about their pricing. In Rotorua, consumers have more choices as they can give their business to brands like Gull who typically are more price competitive than the big four."
The Westbrook site manager, who did not want to be identified, said there was "no special reason" why the station no longer displayed roadside prices. She said she told Mr Kirby about the happy hour discount, which usually targeted motorists as they headed to and from work. She declined to comment further.
Exxon Mobil spokesman Alan Bailey said the company did not impose pricing standards on independent retailers.
Fuel price controversy
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