Question regarding fuel import regulations and benzene content in WA, and the Minister's response highlighting concerns about a potential BP refinery monopoly and its impact on competition and consumers.

AnsweredQoN 1395Legislative Assembly
Asked
19 February 2002
Portfolio
Consumer and Employment Protection

QuestionView source ↗

(b) will the Minister confirm that fuels that contain benzene in quantities greater than 1.0% by volume will not be imported into Western Australia; (c) will the Minister confirm that fuels that do not meet Western Australia’s existing fuel specifications, as defined under the Environmental Protection (Diesel and Petrol) Regulations 1999 , will not be imported into Western Australia; and (d) will the Minister confirm that fuels that do not meet Western Australia’s existing fuel specifications, as defined under the Environmental Protection (Diesel and Petrol) Regulations 1999 , will not be allowed for sale in Western Australia?
(c) will the Minister confirm that fuels that do not meet Western Australia’s existing fuel specifications, as defined under the Environmental Protection (Diesel and Petrol) Regulations 1999 , will not be imported into Western Australia; and (d) will the Minister confirm that fuels that do not meet Western Australia’s existing fuel specifications, as defined under the Environmental Protection (Diesel and Petrol) Regulations 1999 , will not be allowed for sale in Western Australia?
(d) will the Minister confirm that fuels that do not meet Western Australia’s existing fuel specifications, as defined under the Environmental Protection (Diesel and Petrol) Regulations 1999 , will not be allowed for sale in Western Australia?

AnswerView source ↗

Answered
20 March 2002
Responded by
Minister for Consumer and Employment Protection
Response time
29 days
(a)-(d) Under arrangements put in place by the previous Government which established a unique set of fuel specifications, the BP Refinery at Kwinana has become the sole supplier of petroleum products sold in Western Australia. I am very concerned at the impact this may have on the petroleum market in WA. BP’s advice late last year to Caltex, Mobil and Shell that it intends to withdraw from the long-standing Refinery Exchange program in Australia has added a further dimension to this issue. Any company that is unable to source fuel that meets WA specifications, in viable quantities and at a competitive rate, will clearly be disadvantaged in the marketplace. Additionally, a monopoly situation places other petroleum retailers in a difficult position when negotiating contracts. I do not believe that this is in the interests of consumers or the WA petroleum industry. This matter is still being investigated. However, I can assure you that the Government is very mindful of the possible environmental impacts of any changes to our unique fuel specifications.

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