In a move that should enhance competition across the fuel sector, Shell Australia announced wholesale customers will now be able to buy their discounted fuel directly from Shell terminals. The move also means the terminal gate pricing policy goes beyond Western Australia and Victoria as well as allowing farmers and rural service stations to access bulk fuel at discount price.
The Motor Trades Association of Australia however said the move by Shell should be treated with caution because of administration issues and whether service station operators would gain access to product at the terminal gate.
The jury is still out on terminal gate pricing according to industry commentators, who argue that it had not resulted in large new purchases at the gate in Victoria and WA despite its championing by the Australian Competition and Consumer Commission.
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