Paul Murphy demands price controls amid petrol price hikes

Paul Murphy questioned what is being done to prevent oil companies pocketing an excise duty cut, citing reports of petrol stations raising prices ahead of the change. He welcomed the excise duty cut, said he would press for a VAT cut and urged the use of price controls and enforcement by the Consumer Protection Authority.

Allegations of pre-emptive price increases

Paul Murphy said reports were coming in of petrol stations increasing prices for petrol and diesel in advance of the excise duty cut. He gave a local example of a petrol station increasing the price of diesel by 15 cents at lunchtime and then planning to reduce it later, arguing the outlets were taking advantage of the crisis to make bumper profits.

Policy demands

While welcoming the excise duty cut, Paul Murphy said the government should also cut VAT and implement price controls at minimum alongside those measures. He argued price controls were needed for petrol, heating oil, gas, electricity and other essential energy sources.

Legal powers and enforcement

Paul Murphy invoked the Consumer Protection Act and said the Consumer Protection Authority has the power and responsibility to pursue companies that are breaking the law, engaging in price gouging or anti-competitive behaviour. He called on authorities to use those powers to protect consumers.

International market considerations

Paul Murphy noted that fuel is an internationally traded commodity and warned of that reality when considering interventions. He observed that price caps or price controls have not worked in the past as a mechanism to deal with situations like this, but said action was still necessary to prevent profiteering.