NEWS RELEASE

                                                                                       Office of the Official Opposition

November 14, 2008
For Immediate Release

Further changes needed to the Petroleum Pricing Office

Opposition Leader Yvonne Jones is again frustrated with the actions of the Petroleum Products Pricing Commission (PPPC) and their early decision to freeze the price of fuel products on the south coast of Labrador. This decision was made even though shipments of fuel are still being trucked to the communities in the region, and the final tanker isn’t due to stockpile fuel until next week.

Jones noted the obvious difference in policy and actions of the PPPC. On the Public Utilities Board (PUB) website it states: “The price freeze normally coincides with the last shipments of the season in late fall and continues until deliveries to the region resume in the spring of the year. However, in the case of Zone 11 (Labrador South - Lodge Bay / Cartwright), where road access may be available prior to the beginning of the shipping season, the Board will consult with local stakeholders to determine the appropriate end date for the price freeze, as it has in the past.”

“Every year in my district we experience the same problems in dealing with the PPPC,” said Ms. Jones. “Their decisions are usually made in a haphazard manner and appear to favour the fuel suppliers instead of consumers. There is no reason why the people on the south coast of Labrador should not be getting the recent fuel price reductions as suppliers are still trucking fuel by road to communities. The suppliers are purchasing their fuel at a lower cost, yet will be reselling it at a significantly higher price to consumers over the next several months. 

“There was no consultation with consumers in my district before this pricing freeze took effect. The policy on the PUB website emphasizes that local stakeholders would be consulted, yet this decision appears to have been made unilaterally or in consultation with the fuel suppliers. Once again the PPPC is not looking out for the best interests of consumers in southern Labrador.

“This haphazard approach by the PPPC must change. If clear policies are not in place or are not being followed, I suggest government bring some much needed clarity to this system. With this current approach, consumers are not being protected as per the original mandate of the office.”

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Media Contact: 
Darrell Mercer
Director of Communications
Office of the Official Opposition
Tel: (709) 729-6151 or (709) 687-0477