Big Spread In Pump Prices Shows Value Of Shopping Around For Fuel

The Commerce Commission’s latest Quarterly Fuel Monitoring Report shows a big spread of prices at the pump – with Regular 91 in Auckland varying by 38 cents – highlighting the value of shopping around.

The difference in prices between the most and least expensive sites, on the same day, within the same city, increased in each of the five largest cities in New Zealand between the September 2022 quarter and the quarter ending December 2022.

Auckland had the widest spread with Herne Bay and Orakei being the most expensive for Regular 91, and Mangere East the least - in the Capital, motorists filling up in Karori were paying the highest prices and those in Stokes Valley, the least.

Commission Chair, John Small, says this latest report highlights the significant spread of prices even between neighbouring suburbs and shows some retailers charging significantly more than others for the same product. He says this emphasises the value to be had in shopping around for the best deal – including using price comparison apps like Gaspy.

“Kiwi motorists can make significant savings by supporting stations offering lower prices and this is a win-win for consumers and for those retailers offering the lowest prices – and these savings can be had by motorists simply shopping at the station round the corner from their usual,” Dr Small says.

Between the September quarter and December quarter, the spread of prices for Regular 91 in Auckland went from 22 cents to 38 cents – meaning that someone filling an average 60 litre tank could save around $20.

“If consumers actively shop around, they’ll put pressure on suppliers to offer lower fuel prices,” Dr Small says.

Auckland had the highest average prices of the five largest cities for all fuel types in the December 2022 quarter, while Hamilton (and Wellington for diesel) had the lowest.

Importer margins remained high in the December 2022 quarter compared to the June 2022 quarter, despite a small decrease in margins for Regular 91 and Premium 95.

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