Labor will give the ACCC power to act on petrol prices

The Turnbull Liberal Government has shown yet again it is incapable of taking the tough action needed to protect Tasmanians from unfair petrol prices.

Tasmanian families consistently pay more for fuel than motorists in any other capital city, according to the latest Transport Affordability Index from the Australian Automobile Association.

“Fuel companies cannot use Bass Strait or long distances as an excuse,” said Brian Mitchell, the federal Labor MP for Lyons.

“The companies charge higher prices because they know the ACCC doesn’t have the resources to take them on.”

Mr Mitchell said a Labor Government would beef up the powers of the ACCC.

“Currently, the ACCC has to effectively get a warrant from the Treasurer to inquire into anti-competitive behaviour. Labor will unshackle the ACCC so it can take action and recommend legal action when it sees fit.

“Labor will double the ACCC’s legal action budget and we want penalties for anti-competitive behaviour increased, so corporations stop treating breaches as simply a cost of doing business.

“Tasmanians are sick of empty words from politicians that do not offer a solution. Labor offers a real plan that will help protect Tasmanians from unfair petrol pricing.”

Further reading: Andrew Leigh – piece on market concentration in The Monthly (published last week) – opens with Perth collusion in fuel prices: http://www.andrewleigh.com/a_few_big_firms

Andrew Leigh – February piece in the Herald Sun: http://www.andrewleigh.com/is_tacit_collusion_fuelling_higher_petrol_prices_herald_sun

BRIAN MITCHELL MP FEDERAL LABOR MEMBER FOR LYONS