Bad news for forecourt LPG

The price of lpg looks dubious. If it can be sold for 66p to 75p in the Birmingham area, why is it 30p to 40p more in other areas?

Clearly it can't all be delivery costs.

Some of it will be the overheads of the tank and pump, but the cheap suppliers have that too.

Looks to me like a price cartel and greed.

Morisons is a different matter. They have been testing different LPG prices and seen to have decided to go for big margins because they're selling up anyway. Lost goodwill wont affect them. (They're wrong there:we only shop at Morrisons when buying lpg as well.)
 
Perhaps there are still lots of lpg powered taxis in the Birmingham area and they get enough turnover to keep prices down. I can’t see these low prices lasting when it is just a few leisure users buying occasional small amounts.
 
Geek said:
The price of lpg looks dubious. If it can be sold for 66p to 75p in the Birmingham area, why is it 30p to 40p more in other areas?

Clearly it can't all be delivery costs.

Some of it will be the overheads of the tank and pump, but the cheap suppliers have that too.

Looks to me like a price cartel and greed.

Morisons is a different matter. They have been testing different LPG prices and seen to have decided to go for big margins because they're selling up anyway. Lost goodwill wont affect them. (They're wrong there:we only shop at Morrisons when buying lpg as well.)
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Supply and demand maybe in local areas. You charge as much as people are prepared to pay I guess. Its a business after all.
 
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