Update: World Oil Price Reductions – Communications, Energy & Natural Resources 23rd October, 2014

[Ref No.: 40861/14]

*  To ask the Minister for Communications, Energy and Natural Resources the extent to which he may ensure directly or in consort with his EU colleagues that world oil price reductions are passed on by the oil companies to the consumer at filling stations which affects motoring costs and domestic heating costs; and if he will make a statement on the matter. – Bernard J. Durkan.

*    For WRITTEN answer on Thursday, 23rd October, 2014.

(658  Received on 20th October, 2014.)

REPLY

Minister for Communications, Energy and Natural Resources (Deputy Alex White)
The Irish oil industry is fully privatised, liberalised and deregulated and there is free entry to the market. There is no price control in the oil sector and it is Government policy to encourage price competition and consumer choice.
I have no statutory function in the setting of oil, petrol or diesel prices. Previous surveys have shown that prices charged by Irish retailers for oil products relate to the refinery price rather than to the price of crude. The price paid at the pump by consumers is largely determined by taxation levels, the internationally traded price of crude oil and the consequent price at which refined product is traded in Europe, along with the level of competition in the retail market.
The European Commission maintains a Statistics and Market Observatory, which presents consumer prices and net prices (excluding duties and taxes) of petroleum products in EU Member States (known as the Oil Bulletin) on a weekly basis. The Oil Bulletin is designed to improve the transparency of oil prices and to strengthen the internal market. The relevant link is:
http://ec.europa.eu/energy/observatory/oil/bulletin_en.htm .
As of October 13th 2014, the price of petrol in Ireland was €1.53 per litre including taxes and duties, while the price of diesel was €1.43 per litre including taxes and duties. The weighted EU average for the EU 28 for the same week was €1.54 per litre for petrol including taxes and duties and €1.39 for diesel including taxes and duties. While Ireland’s diesel price last week was slightly higher than the EU average, our petrol prices were lower. Ireland was around mid point on the list of EU Member States.