Let's Talk About the Fuel Station Association's Angst Over High Prices and Price Fluctuations
Association of Gas Stations Criticizes Perceived Unfair Price Strategy and Retail Rates
Chat it up on FB, Tweet it out on Twitter, Whatsapp the gang, Shoot an Email, Print it off, or Copy the Link—It's all about the overpriced fuel and shops at your local gas stations! The Fuel Station Association (TIV), comprising nearly 700 members who run around 1,000 stations, largely franchisees, is grousing that consumers and franchisees alike are getting the raw end of the deal. According to TIV's CEO Jochen Wilhelm, the federal government, EU Commission, and Cartel Office need to take a stand against what Wilhelm calls "cartel-like antics" in this sector.
TIV reels that corporations are mercilessly exploiting their market power, with price fluctuations on fuel happening multiple times daily, making things chaotic and difficult for consumers to keep up. Wilhelm points the finger at "confusing prices," asserting that fuel prices have long since detached from the oil price on the world market, which remains mostly stable for days.
An analysis by the comparison portal benzinepreis.de found that, between May 12 and 18, over 11,000 fuel stations had prices valid for less than 15 minutes, with prices at 3,851 stations changing in less than 5 minutes. TIV maintains that the individual franchisee has no sway over fuel prices, with the franchisees simply scratching their heads along with drivers at the sudden price swings orchestrated by the mineral oil companies.
As for what's happening outside the world of fuel, tax experts in Germany suggest that tax hikes for companies can be passed onto consumers, potentially increasing fuel prices—a research finding that doesn't directly pin the TIV but sheds light on pricing factors in the broader economic landscape. Meanwhile, Germany's economy has been in a rut, with no growth forecast for the year ahead. Economic conditions can affect fuel prices, but this doesn't specifically indict the TIV. Lastly, there have been issues with biofuel certification in Germany, further muddying the waters of fuel integrity, yet this is unrelated to the TIV's pricing practices.
Sources: ntv.de, dpa
The Fuel Station Association's (TIV) community policy could include a call for intervention from the federal government, EU Commission, and Cartel Office to regulate price fluctuations in the fuel industry, perceived as cartel-like antics by TIV's CEO Jochen Wilhelm. To help independent franchisees affected by these price changes, TIV could propose vocational training programs to equip them with the necessary skills to navigate the volatile business environment in the mineral oil sector.
