Retail fuel prices in New Zealand - the facts

The fuel markets in New Zealand are very competitive and on a daily basis there is competition for fuel sales at a local, regional and national level. There are several major suppliers of wholesale fuel and numerous retailers with a variety of branding.

Fuel prices are influenced by a number of factors including product cost, exchange rates, transportation and local market competition.

How are retail petrol prices set?

Retail prices refer to the price that the consumer pays at the service station.

Mobil supplies approximately 170 branded service stations across New Zealand. There are a variety of commercial arrangements in place with retail site operators. In some instances, an independent dealer will set the price. In cases where a commission agency agreement exists, Mobil sets the retail price and the dealer sells the fuel on behalf of Mobil for an agreed commission.

Discounting is driven by competitive forces in a market. For example, as service station operations in any particular local area compete for volume, they may use discounting as a way to attract customers. Discounting can also come in other forms such as supermarket docket vouchers or service station store promotions.

We monitor prices in each market closely. Where Mobil sets the price at sites, we aim to ensure that our prices are competitive in local markets.