Question

Mr Yip Hon Weng: To ask the Deputy Prime Minister and Minister for Trade and Industry in view of petrol prices in Singapore not decreasing correspondingly with recent decline in crude oil prices and electricity tariffs, whether the Competition and Consumer Commission of Singapore will investigate the practice and pricing mechanisms of petrol retail operators to ensure fairness and transparency for consumers.

Written Answer by Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong

1. There has been a decrease in petrol prices when crude oil prices declined. Brent crude oil prices peaked at US$133 per barrel in 2022 amidst supply shortages due to the Russia-Ukraine war, but have since fallen to US$75 per barrel by the end of 2024. Similarly, Octane 95 prices peaked at S$3.40 per litre in 2022 and have since fallen to S$2.88 per litre by the end of 2024.

2. The percentage change in retail petrol prices is usually smaller than that of crude oil prices because crude oil prices account for less than one-third of listed retail petrol prices. Retail petrol prices are also determined by other factors such as operating costs, taxes and duties, and land costs.

3. The Competition and Consumer Commission of Singapore undertakes market surveillance regularly and will not hesitate to take action if there is evidence of anti-competitive conduct in the petrol market. In addition, the Consumers Association of Singapore has developed the Price Kaki app which will allow consumers to easily compare the effective fuel prices from different retailers, to increase price transparency and encourage a more competitive market.