Cheaper petrol and diesel in the district than in the city – news Troms and Finnmark

– I avoid filling up in the city. I think it’s strange that we pay less, but I live out here, so I’m happy. That’s what Ørjan Pettersen says, who lives just over two miles away from the center of Tromsø. There he can fill up with fuel for several kroner cheaper per liter than in the city. news has followed the price level of the fuel chains for a longer period, and a pattern is clear: In the big city of Tromsø, the pump price is often several kroner more expensive than elsewhere in Troms. It is not unusual for the pump price for petrol and diesel in Tromsø to be around NOK 25 per litre. A few miles out of town, it can be up to four kroner lower. Photo: Trygve Grønning / news Since the 1990s, Tromsø has had its own fuel tax, and motorists in Tromsø have paid more for fuel than in the rest of the country. This fee was removed when tolls were introduced, but the higher price still seems to remain. – It makes no sense at all. The prices are absolutely terrible, they are far too high, says Kristin Gården. – Those who live in the districts around us have it much cheaper. Kristin Gården is upset about the high fuel prices in Tromsø. Photo: Pål Hansen / news – It makes me very upset Municipal council representative in Tromsø municipality, Peder Joakimsen (R), also reacts to the high fuel prices. – It makes me very upset to see that ordinary people, who are struggling with increased expenses in society at large, also have to pay a pump price for fuel that is much higher than elsewhere in the county, he says. Municipal board representative in Tromsø municipality, Peder Joakimsen (R), simply does not understand why petrol and diesel are so expensive in Tromsø. Photo: Pål Hansen / news The politician believes that it ultimately has to do with market mechanisms. – We previously had a fuel tax in Tromsø, and then maybe the dealers learned that it was possible to charge extra, says Joakimsen. Will not comment on the pump price news has spoken to several of the petrol stations that sell cheaper fuel out in the rural areas. They state that the purchase price is the same for them, and that they sell fuel with less profit than in Tromsø. None of the companies that sell fuel in Tromsø will comment on the price level. ST1 Nordic Oy, which operates the Shell stations in Norway, writes the following in an email to news: “Fuel prices are set based on the local competitive situation, and we do not want to say anything about our pricing strategies because we operate in a market with a large competition. Therefore, we also do not find it natural to do so in an interview.” When you fill up with fuel in Tromsø, the meter goes fast. The price is often much higher than many other places in the county. Photo: Pål Hansen / news Received more inquiries The Norwegian Competition Authority informs news that they have recently received more inquiries than usual about high fuel prices. Some of these concern large price differences in places that are relatively close to each other, in several places in the country. – It is usually in towns and surrounding areas, says senior adviser Inger Sommerfelt Ervik. However, the Norwegian Competition Authority is aware that higher prices in the cities than in the districts are contrary to their expectations. – Usually we expect the price to be lower where there are several different fuel chains competing, and that is often the case in cities, says Ervik. Senior adviser at the Norwegian Competition Authority, Inger Sommerfelt Ervik, says they usually expect the prices to be the lowest in the cities. Photo: The Competition Authority / – It is not as profitable to lower the price But even if the Competition Authority expects the price to be the lowest in the cities, this is not always the case. – It could be, for example, because two stations are quite close and have a very good overview of each other’s prices, says Ervik. – So if one station lowers the price, the other will do so soon after. Then it is not as profitable to lower the price, because you will still not get more customers than the neighboring station. The picture was taken on the same day as at the competitor further up the case, but on the other side of Tromsøya. Photo: Trygve Grønning / news The petrol stations can do as they want. Ervik also points out that local conditions can help influence the price. – In Tromsø they have had an additional tax on fuel, which may have helped to influence what people are used to paying for fuel, says Ervik. – Is it legal to deliberately have a higher price than in the surrounding areas? – Yes, petrol stations are allowed to set the price they want. What is illegal is talking to each other about what the prices should be, says Ervik. However, all hope is not lost, because according to Ervik, the customer still has some power. – Petrol stations lower prices to attract customers, and the more effective it is, the more often they will do it, she says. – So if you as a consumer take care to fill up with fuel when you see it is cheap, even if it is only a quarter of a tank, then it is wise in the long term. Do you fill up when the price is low? Yes, no matter how much I have on my mind. No, only fills when the tank is close to empty. Have a fixed day/time that I usually top up. 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