JAUSTIRAIJA
PRIME MIlNISTER
r oR T1nss I' T) ECP. M1BR .1977
INDUSTRY. TALKS ON PI-TROI, RY-ThILING
the P'rime Minister, Malcolm Praser, * met with representatives
6f the Western Australian AUtoMobile Chamber . of Coimmerce in)
Perth ycnterday.
The representatives of the Chamber raisea with the Prime Minister
the problem8 faced by service station proprintors, including
price discrimination by wholesale nuppliers, and the difficult
contractual conditions under whichi thcy operate.-
They claimed there was a process of~ vertical integration proceding
with the oil companicp. retailing direct through their own
outletEs at. pr-i ces beplow the wholesale price~ charged to competing
service stations.
The Prime Minister said that hie understood the cliff iculties
faced by small service stations in maintaining their position
in the industry. lie welcomed thc view expressed by the Chamber
representatives that they had commwon interest with the government
in keeping the price of petrol, to the consumer as low as posidble.
After the next mieeting of the Oil Indurtry Marketing
Consultative Committee in December, the Government will bring
together suppliers and retailers under the auspices of the
Covernmcnt to examine how more eqiuitable distribution and marketing
polioies could he developed.
These discussions will examine the problems on a nationzA basis.
That meeting will lie asked to examine:
1. Whether Trade Practices Act should be varied to rcmeay
allegjed discriminatory pricing practices in the industey
alleqcci discrimination inherent in terms and conditions
of contracts between oil companies and lessees.
2. A~ ction that might he appropriate in concert with States to
prosecute a rationalisation prorarme.
3. Development of more equitable distribution and ma~ rketing polici C
following discussion of this matter by the Consultative
Committee. ./ 2
* 1
2.
The ( overnment believes that the problems can he solved by
agreement within the industry, M* wcver, if agreement is riot
reached, it should he understood by all the parties to the
discussions that the Government can legislate to achieve a
fair solution, although such legislation might require the
cooperation of the. States.