Recent Study shows no “Price Gouging” Despite Petrol Increases … at least not yet

The Consumer Affairs Commission (CAC) has monitored with great care, the increases in the price for 87 – Octane, 90 – Octane and Auto Diesel over the past two weeks. Many calls have come into our offices from members of the public highlighting what they consider to be “Price Gouging”. It is the informed position of the CAC, that to date, despite the current situation in the Petroleum Sector there have been no significant occurrences of “Price Gouging”. The Commission has tracked the price of petrol products in an ongoing manner for several years.
We are however very concerned that over this past week especially, there has been an increase in the number of stations that are not displaying the prices for the three petrol products on their display boards.

In a specially commissioned study during the period May 17 – 21, in the Kingston Metropolitan Region, KMR, Portmore and Spanish Town (the Triangular Region), where the prices of the three petrol products at a total of thirty-nine (39) petrol stations have been tracked daily the Commission has noticed the following:

• Usually our findings are that between 7% and 14% of stations surveyed do not display prices on billboards

• On May 18th, 19th and 20th, 42%, 55% and 58% respectively of stations surveyed within the Triangular Region, did not display prices of petroleum products on their billboards

• On Thursday May 20, one station did not display the prices on its analogue pumps and consumers had to ask for the prices while at the pump. The Commission immediately contacted the operators and are happy to report that this matter has been rectified

• Though there have been significant increases in the cost of the three petrol products surveyed these increases are within margins consistent with the increases announced from PetroJam for Thursday May 13, and Thursday May 20th

• At this time we are cautiously optimistic that as at today, Friday May 21, 2004 there has been no across the board occurrences of “Price Gouging”

The CAC reminds businesses, that consumers have the Right to Information that will assist them in making informed choices in their purchases. In the interest of good customer service therefore, service managers are being urged to curtail this trend and protect the consumer's rights.

Mindful of the upcoming Labour Day Holiday, and that many persons may be travelling to the country, the Commission will continue to monitor the price movements and advises members of the public to effect conservation practises as far as possible. There should also be no long lines at the Petrol Stations as there is no shortage in petrol products!

Contact:
Mr. Raymond Pryce – Director of Research, Information & Communication
Telephone: 968-8732; 926-1650-2
Email: dir_ric@consumeraffairsjamaica.gov.jm