Mogas at Brooklyn Park to sell $1 unleaded petrol between 3pm and 7pm, Wednesday

Julian Swallow
May 07, 2013
The Advertiser

ADELAIDE petrol prices have spiked almost 20c a litre after falling to their lowest levels in almost a year on Sunday

A FUEL price war is predicted to continue tomorrow as one Adelaide retailer offers unleaded petrol for $1 a litre.

This price will fall again tomorrow when the petrol station offers standard unleaded petrol for $1 a litre between 3pm and 7pm.

Co-owner Steve Kosmidis said competition in the industry was ruthless, particularly with the might of heavyweights Woolworths and Coles.

“It’s a new station (and) we figured that instead of putting money into advertising, we would put it back into our customers’ pockets,” he said.

“We are an independent, family-run business and we want to support the people who support us.”

Mr Kosmidis, who owns six stations with his brother Tom, said today’s bargain petrol was about 38c cheaper than the wholesale price.

He flagged the possibility of running a monthly cheap petrol promotion to keep the industry honest.

RAA senior analyst Chris West urged motorists to take advantage of cheap prices like those at Mogas Brooklyn Park as Adelaide’s seven to 10-day fuel price cycle hit its highs.

“Motorists who took advantage of that scored an absolute bargain compared to other prices seen around town,” he said.

Mr West said some fuel retailers were “trying to take a little cream off the top” by raising prices more than necessary.

“Some retailers are taking advantage of motorists by overcharging,” he said.

The average unleaded petrol price in Adelaide fell to 126c on Sunday, the lowest level since July, as the combination of a strong Australian dollar, falling crude prices and falling demand for fuel pushed prices down.

LPG prices hit a 10-month low – at an average 62.8c a litre – while diesel was an average 139c a litre on Sunday, the lowest in two years.

Mr West said record low diesel prices were expected to continue, while petrol prices would likely return to about 130c a litre in the next seven to 10 days.

The cheapest unleaded petrol price in Adelaide today was 123.9c at United in Pooraka.