petrol prices remain high: where is the competition in the industry?

<p> <strong> petrol prices remain high: where is the competition in the industry? </strong> </p>

petrol still expensive, despite falling oil prices

The current situation on the gasoline market is characterized by the discrepancy between falling crude oil prices and still high gasoline prices at the petrol stations. A significant decline in crude oil prices at the beginning of April, caused by global economic uncertainties, has not led to the hoped -for price reductions at petrol. This paradoxical location raises questions about the underlying factors that influence price development.

influencing factors on gasoline prices

Despite a significant decline in the crude oil price, which was $ 64.78 per barrel on April 4, the gasoline price at the petrol stations shows no significant reduction. A report by the Federal Cartel Office shows that fuel prices have now decoupled from the development of the crude oil price. In particular, the refineries play a crucial role here, since their tax prices for fuels differ significantly from the crude oil prices.

The role of the refineries

According to reports, the difference between the crude oil price and the prices that are handed over to wholesale remained significant. This discrepancy is also reflected in the fact that petrol production has been set in significant refineries such as Wesseling, which further tightened the already tense supply situation. The decline in domestic refinery capacities requires higher imports, which leads to higher prices.

competition and transport costs

Another aspect that influences gasoline prices is the competitive situation among the refineries. There are indications of close chains and cooperation between the various providers, which makes real competition difficult. In addition, the low water level of the Rhine has a negative effect on the transport costs, since the transport of raw materials is more expensive.

price setting and market transparency

The low competitive situation is difficult by high market transparency, which was created by price information services. This transparency, in conjunction with the homogeneity of the products, favors a coordinated price policy of the mineral oil companies. This leads to a slow decline in prices when the costs fall, a phenomenon known as the "Rocket Feather effect".

Overall, the question remains why the gasoline prices remain at a high level, despite falling crude oil prices. The structural problems of the market, restricted competition and possible agreements between the providers contribute significantly to this problem. In the current situation, drivers still have to adapt to expensive fuel prices.