Fuel costs

[NickP]

I saw on the UK news this morning a representative of the oil industry saying that due to an oil producing cap being introduced, the price of fuel will probably rise by 2p a litre. Can someone please explain why the money grabbing retail units in France have increased the price in the last couple of weeks by12/14 centimes. Oh I've just remembered, it's to show solidarity with the half wits who are on strike in an effort to cripple their own country; and ruin the French economy. No wonder that thousands of young French are now working in the UK and utilising their entrepreneurial skills there.

[alittlebitfrench]

Hear hear.

You have to remember that the majority of French people as pissed off as you and it is not just about the price of petrol.

France economically is in a mess. Big mess. You don't want to move to France at the moment. It is only going to get worse.

[andyh4]

Or just maybe it has something to do with the world oil price having risen 25% in the last 18 working days (past event not future). I have no doubt that some retailers have raised their prices even more due to the shortages, but the main reason lies elsewhere.

[PaulT]

Ah, but when oil prices DROP the price at the pumps does not DROP immediately, just when it goes up does it RISE immediately.

[NickP]

"Or just maybe it has something to do with the world oil price having risen 25% in the last 18 working days (past event not future). I have no doubt that some retailers have raised their prices even more due to the shortages, but the main reason lies elsewhere."

Andy

Oh yeh, so why only a 2p rise in the UK and at least a 12 centimes rise in France. 25% in the UK is the same as 25% in France or it should be?

[NormanH]

https://www.drive-alive.co.uk/fuel_prices_europe.html

but down here many people fill up in Andorra when they can or are making a trip to market

http://autotraveler.ru/en/spravka/fuel-price-in-europe.html

[andyh4]

Nick

I cannot comment on the UK, but in general it is important to remember that the cost of the fuel is between 40 and 60% of what you pay. The rest goes to the government and depending on how their share is calculated depends more or less on the price at the pump.

So for duty (or equivalent in different countries) tends to be fixed -say 50p/65c per litre irrespective of what the sales price is. VAT however is directly linked to the sales price - so oil price goes up and duty stays the same but VAT goes up in line with oil price.

If, as you say, fuel has only gone up 2p/l in the UK, then watch out over the next couple of weeks.

And yes I do agree prices tend to go up immediately and fall at the oil companies leisure.

[andyh4]

and just to add, the cost of diesel that I bought 4 weeks ago was 5c less than the diesel I bought at the end of last week. Not sure where your 12c came from, but regions and petrol stations set their own agendas.

[powerdesal]

I'm sure it's just a co-incidence but the price of diesel here in Normandy has risen by approx 10 cents per litre since the fuel blockade. Of course it will soon go back down - won't it ???

[NickP]

"and just to add, the cost of diesel that I bought 4 weeks ago was 5c less than the diesel I bought at the end of last week. Not sure where your 12c came from, but regions and petrol stations set their own agendas."

Andy

Two weeks ago in Montoire sur Loir; the price of diesel was 1.09 a litre it is now 1.22