The Australian Competition and Consumer Commission has reviewed the recent three day fuel discount promotions offered by the major supermarkets to assess whether they fall foul of the Trade Practices Act 1974.
The promotions – instigated by Coles and then followed by Woolworths – came into effect on Monday July 13 2009 and involved substantial discounts on fuel purchases.
Under the promotions customers were offered discounts on fuel purchases of a maximum of 40 cents per litre if they spent up to $300 in a single transaction in Coles or Woolworths supermarkets during the three day period July 13 -15.
Joe Dimasi, ACCC Petrol Commissioner said: "After considering the Coles and Woolworths discount schemes we have formed the view that these one-off promotions do not breach the Trade Practices Act.
"A one-off promotion of this nature results in a short term discount for consumers. For most consumers the discounts will only apply to one weekly or fortnightly shop and to one tank of fuel.
"Metcash, the major wholesale distributor to independent supermarkets, also offered equivalent discounts to consumers. This shows us that other players in the market have the ability to match the short term competitive pressures of companies such as Coles and Woolworths. This is competition operating in the interests of Australian consumers.
"As always, the ACCC will continue to closely monitor fuel prices, including assessing future discount schemes," Mr Dimasi said.