10 July 2001: Huge variations in the price of petrol have prompted a call for the Competition Authority to investigate.

Petrol prices fell by 3.1p/litre in the last month, according to the Automobile Association. That is good news for motorists.

Bad news for motorists is that they can pay a lot more at some outlets than others. And, according to the AA, there does not appear to be any rational explanation for the difference.

The latest figures compiled by the AA indicate that petrol prices have dropped by around 13.5p/gallon. The association reckons the average national price of a litre of unleaded is now 70.3p. But diesel prices have gone up - by 1p/litre or 4.5p/gallon with the average cost now at 60.2p/litre.

Dublin motorists are doing best, the figures show. This is probably due to stocks selling faster so old-priced petrol is moved more quickly and consumers can benefit from the lower-priced fuel coming on stream.

In rural areas, stations have to wait longer to dispose of more expensive fuel and consumers have to pay more.

But while the underlying factors in price levels are international, such as the value of the euro and the price of oil, there are trends in our market counting against the consumer. The AA's public affairs manager Conor Faughnan says motorists are losing out to 'pricing practices that cannot be adequately explained'.

The AA says there is no apparent reason why some areas are cheaper than others. It has been seeking an adequate explanation on why prices do not differ when brands are compared but differ 'dramatically' depending on location.

"We have yet to hear convincing reasons from the industry as to what is causing this, and we have asked the Competition Authority to investigate," Conor Faughnan says.

He cites as examples: petrol being more expensive in Donegal than in Sligo, dearer in Galway than in Clare and in Kilkenny than in Waterford irrespective of the brand name.

The blunt message to motorists is: shop around and look to buy fuel as cheaply as possible in your area.

Meanwhile an American Express survey of ten European countries puts Ireland among the cheapest.

The fuel price comparison table for 2001 (price/litre in EUR cents) is : Spain 71.6; Switzerland 82.7; Ireland 89.1; Austria 95.5; Germany 105; Belgium 108; Italy 108; France 111.3; Holland 116.2; UK 125.7. CFC