Watchdog Calls For More Transparency On Fuel Prices

The Consumer Council is the latest statutory body to appeal for more transparency from the government and oil companies over the setting of fuel prices in Hong Kong.

The consumer watchdog said on Thursday there are many factors that affect fuel prices – such as import fees, taxes, and operating expenses – but it doesn't have access to the raw data.

“That’s why we want to look into… what are the major components among all these cost factors that led to the increase by itself,” said Gilly Wong, the council’s chief executive.

“But unfortunately we have to say, we don’t have the access to data and that’s why we would urge the government to increase the transparency of especially the import price.”

She also appealed to oil companies to be more transparent to the public, by disclosing more about their operations.

This echoed a call from the outgoing chairwoman of the Competition Commission, Anna Wu, at the end of April. She said the government should be more transparent on the issue, and bemoaned her agency’s lack of powers to investigate whether prices were being fixed.

Wu had said that when the watchdog carried out a study in 2017, some oil companies refused to provide price data, saying it is sensitive information.

He complaint followed criticism from lawmakers across the political spectrum at a Legco panel meeting, where the Environment Bureau was taken to task for failing to monitor fuel prices.

An analysis of fuel prices released by the Consumer Council on Thursday found there had been bigger increases than reductions over the past seven years.

However, its study couldn’t show that petrol stations were putting prices up quickly when fuel costs rise but acting more slowly when crude oil is cheaper.

It was able to ascertain that retail prices are now about HK$3 more than when Brent Crude prices were at a similar level four years ago.

The council also recommended the government to conduct a thorough regulatory review of the market, to examine its pros and cons and formulate a long-term development plan.

It said for now, it advises consumers to pay attention to the oil companies’ different discount offers in order to enjoy the lowest price.