Petrol price inquiry 'a cynical exercise'

Whats happened to the watching of petrol prices? (what a joke) barrels of oil have dropped to well under $100.00 while we get a 4cent drop not a vote catcher here i feel.1993 we were 51-56cents to USD petrol was 89cents per litre so they can't blame the dollar for that one but increased taxes for roading can't see that one either roads are a disgrace so were has the money gone for that?As a keen motorcyclist our registration has gone up to $267.21 a year which has gone to acc plus roading another vote catcher i bet get on to it before its to late thats if you want our vote for this ellection.

"Meanwhile Cullen and Clark will continue to stockpile all the extra millions of dollars in petrol taxes and gst they're now raking in, together with the billion and a half or so they didn't allocate in the budget to use back on us as a massive last-gasp bribe to try and win the election later in the year."

This isn't true. Petrol tax is a fixed amount for every litre, not a percentage. The government actually loses revenue when prices go up because people buy less petrol. There's GST on top of that, but if people are spending more on petrol they are spending less on other things, the government loses GST on those other things that would have otherwise been bought. Either way, in the end there's no difference in the amount of GST collected and quite possibly less excise tax collected.

"And wait for Cullen, with that ever-present smarmy smile, to say that the country cant afford it... Shouldn't have bought your billion dollar toy train set then should you Cullen"

Yes let's keep relying on the private sector to not invest in the trains and maybe even rip up some more tracks while petrol gets more and more expensive so that no one can afford it, leaving us with no alternative modes of transport, effectively destroying our economy.

It is basic economics that demand increases prices. It is a fact that the world is consuming more oil than is possible to be pumped. What I find amazing is the fact that the production(I mean pumping) has remained static since 2005. This is what has direclty increased the prices, restricting supply and increasing demand. The fact is the oil companies have it over us. We need oil. Even if we reduce our usage the demand is still increasing from developing countries in Asia, meaning the price will still increase. The oil companies are making record profits whilst supplying the same. Now I have to give it to them, that is good business.

I have to laugh at these people whispering biofuel and alternative fuel supply. Where can we effectively grow enough crops to supply a whole nation with Biofuel, or even just produce enough to effect Oil prices. With current Global warming issues we can't cut down trees and these crops are not nearly as profitable as Dairy farming. New Zealand cannot look at Electric cars as this would over load our electricity system. Quite frankly New Zealand is in a bad position. We cannot affect the prices and cannot suppy enough product to cover our use. The only option is to not use Oil, one which I know is not possible for me.

1) The enquiry is just another waste of money 2) We should be investing in alternate fuels \ energy 3) Oil companies make billions of clear profit $ per year and invest nothing into alternate energy sources they want to keep prices high and realistically we cant stop them. 4) It seems alot of people dont realise that petrol stations are not owned by the oil company, so not buying petrol, food and extras hurts the business owner, not BP. Do you think not buying petrol from BP will hurt their multi billion $ profits ? think again.

Maybe Warren, June 16, has a very valid point regarding BP. In Christchurch they do seem to always be the first to move prices up. In the last two 6 cent rises last week not only were the first to move but are currently holding their prices 2 cents higher than their opposition, who dropped their prices soon after raising them. Given their majority holding in NZ we are probably unlikely to influence their fuel pricing by not buying from them. However, by not buying all the extras, especially food, which has a defined shelf life, some inroads into their profits maybe achievable.

Good move,hHopefully the price will declared for the following day like in Australia, it keeps things in check.

Johnno has a great point. Governments the world over a reaping huge windfalls as a result of this. Meanwhile they hold enquiries as to why an internationally traded commodity is getting so expensive. Yes oil is essential to every day life but it is probably as close as the world has to a perfect market meaning the price is a fair representation of the balance between supply and demang. If they wanted to government could ease the pain on consumers in the short run by lowering tax. I doubt it would have a long term effect but to hold enquiries and blame oil companies is just a cheap attempt to candor favour with the electorate. If fuel doubles in price typically governments get twice as much in tax. Spare me the inquiries you drive to in BMWs with my tax dollars please.

I agree with every comment above and would like only to add that you don't need a consultant on mega $ to see that the most expensive fuel in Aus in in WA where "Fuelwatch" is being trialed, the cheapest fuel in Aus in in Queensland where they don't have the excise tax. This ploy in simply a buck passing time buying one on behalf of the smarmy smiling serpent that is Mr Cullen, my suggestion would be to join me here in Aus where I am 200% better off than I was with a healthier lifestyle to boot.

We as consumers need to look to alternative fuels, the govt will not drop petrol taxes or even lower them. Their more interested in taxing every cent in our pockets then helping us, hydrogen looks attractive to me as water out of a tap would be a far cheaper alternative then paying a tax levy to the govt each time with put gas in our car's, it's bad enough paying on road cost's, WOF's and Rego's That include heavy acc levies i know for a fact that a rego's acc component(Govt tax)is over 80% of what you, we pay!!. They are nothing but greedy vultures!!, if taxing a country so much is the only alternative this and any govt have we are doomed!!..

Fuel prices are just out and out thievery and we are putting up with it.We have stood by and been conditioned to $2.00 now wait for the $3 mark to be achieved.This is blatant dishonesty and the Govt needs to act immediately by taking gst off of the litre price.If it does they may even win one vote back.