What ‘fuel transparency’ means for your business?

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Petrol price and fuel wars don’t stay out of the headlines for long, however this time it could be good news for consumers. This month (May 2013) David Cameron has ordered an investigation to be carried out by his new ‘Policy Unit’ in to fuel and how to create greater transparency. So what does this mean for your business?

David Cameron has asked his newly appointed Policy Unit to investigate the motorway service stations of Britain and how better to make their pricing system more transparent. One option for the service stations is to display the price of their fuels alongside that of their competitions on the motorway, before a car has to enter the forecourt.

This comes to light as it is found that motorway service stations are charging on average 7.5p more per litre for petrol and around 8p more per litre for diesel than elsewhere. Service stations have been getting away with this up until now, as drivers on motorway journeys often don’t know the price of fuel until they pull in to the station, and by this point they won’t go elsewhere due to the additional hassle of leaving the forecourt or motorway to find an alternative petrol station.

fuel prices

The new ‘transparency’ system looking to be brought in by David Cameron is based upon a French-style system, focussing on three points:

  • Advertise their petrol prices on sign posts before motorist enter the forecourt
  • Advertise the price of petrol at their subsequent stations
  • Advertise the price of petrol at subsequent stations even if owned by competitors

The introduction of price transparency on motorway service stations could have a profound impact for businesses as often company cars are filled up at motorway stations for convenience. If you have a number of cars within your fleet the price transparency introduction could save you thousands of pound a year.

This announcement comes the same week as Asda, Morrisons, Sainsbury’s and Tesco have announced they’re about to cut the prices of unleaded and diesel fuels. Between the motorway service station transparency and the reduced cost of supermarket fuel, introducing a fuel policy within your company can provide substantial savings.

What is a fuel policy? Educating your employees on the most cost effective way to fuel up for long journeys is a classed as a ‘fuel policy’. If they can fill up at supermarket fuel stations rather than expensive motorway service stations this could save hundreds of pounds. If you are forced to refill often on motorway service stations then look at chooseafuelcard.com Fuel Card options. Having a fuel card in place can save you money on your monthly fuel costs, with interest free credit as standard.

Author Bio: Leah Jarratt is a regular guest writer for shell cards from chooseafuelcard.com