Diesel price drops, petrol unchanged

Diesel prices are falling, with BP cutting the price at the pump by 5 cents a litre.

Its price at the pump for a litre of regular diesel is $1.529 a litre, with its ultimate grade costing 1c a litre more.

Petrol prices remain unchanged, with a litre of 91 octane petrol costing $2.119 at most stations across the country.

Figures from the Ministry of Economic Development this week showed the gross margins on diesel in New Zealand were at their highest level in months.

BP fuels general manager Nicki Nicol said the price of refined diesel on international markets has decreased and BP has passed this on to consumers.

The price cut came as the company said it had given away more than $1 million in fuel discounts in two months through the launch of the new AA Smartfuel programme.

Z Energy, the New Zealand owned company which is currently rebranding the Shell fuel stations, responded by matching the price cut.

Spokesman Jonathan Hill said the reduction reflected a fall in the price of refined diesel over the last fortnight.

"Diesel prices have come back from close to US$140 per barrel on January 12 to around US$135 today".

- © Fairfax NZ News