‘Pocket change’: Criticism over new SA servo fuel fines
Fines for SA petrol stations failing to properly report their fuel prices are rising almost ten-fold, but one pollie is calling it ‘pocket change’ for big businesses.
Fines for petrol stations failing to update their prices or mark fuel as unavailable have been pumped up to $5000 from $550, the state government announced today.
The maximum court-imposed penalty has also doubled, from $10,000 to $20,000, acting Consumer and Business Affairs Minister Nadia Clancy said.
The penalties were an election promise from the Malinauskas government, and 27 SA petrol stations have already been slapped with a fine since March – including three OTR’s in Littlehampton, Newton and Salisbury Park Terrace.
It comes days after OTR’s parent company Viva Energy reported it would double its earnings to at least $770 million in the first half of this financial year alone as it benefited from the rising cost of petrol.
Viva took over the South Australian petrol station chain OTR in 2023 for $1.15 billion from one of the state’s richest families, the Shahins, and now owns 153 across the state.
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SA Greens legislative councillor Melanie Selwood said it was an “absolutely offensive profit while everyday people are struggling to make ends meet”.
“When this legislation was being debated, the Greens proposed an amendment to increase the penalty for bigger companies like OTR because these fines are just pocket change for them,” she said.
“Corporations are more interested in making massive profits than providing an affordable service to South Australians.”
Selwood said for immediate cost-of-living relief, the government should implement their policy for free public transport.
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Fuel retailers are required to report their prices and fuel availability to a central database within 30 minutes of changing the pump price under the real-time fuel pricing information scheme.
Drivers then access that info through tracking apps like Petrol Spy, Motor Mouth, ServoTrack and the RAA app.
An SA driver using real-time fuel pricing could save about $117 a year based on average fuel consumption, according to the RAA.
The fuel penalty hikes come ahead of the federal government’s fuel discount expiring next week, which had previously kept rising costs at bay.
From midnight Sunday, August 2, the federal government’s fuel excise discount will expire, Treasurer Jim Chalmers confirmed this week, which could see prices jump up 16 cents per litre from Monday.
Nearly $20,000 in fines have been issued to SA petrol stations, the state government said today, including 19 petrol stations failing to report when fuel was unavailable, and eight that had price discrepancies.
The worst offender on the list released today was Caltex, with breaches across six of its stations in Bordertown, Darlington, Islington, Parafield Gardens and Park Holme.
United recorded five breaches in Berri, Pooraka, Somerton Park, Strathalbyn and Tintinara. Other offenders included Ampol Renmark Depot, Karoonda Fuel Stop, Klingner Bros Jamestown, X Convenience Goodwood and Shell Tintinara.
Consumer and Business Services Commissioner Brett Humphrey said the significant boost of the penalities “helps act as a strong deterrent and sends a clear warning that service station operators need to abide by the law”.
Acting Consumer and Business Affairs Minister Nadia Clancy said the government “moved quickly to introduce the tough new penalties”.
“The conflict in the Middle East is outside of the control of any Australian government, but we are making sure that petrol stations here in South Australia do the right thing by consumers,” Clancy said.
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