The Australian Competition and Consumer Commission demanded a high-level meeting with the nation's major fuel retailers—including 7-Eleven, Ampol (ASX:ALD), BP, and Viva Energy (ASX:VEA)—following a disturbing trend in domestic petrol and diesel pricing.
According to the regulator, retail prices have spiked with a speed and intensity that mirrors wholesale movements almost instantly, a phenomenon ACCC Commissioner Anna Brakey described as "unusual" compared to the typical market lag.
The shift was most evident following the onset of conflict in the Middle East, which sent international refined benchmarks soaring and flowed rapidly through to Australian bowsers.
The impact has been felt unevenly across the country; while Canberra recorded the lowest average prices, Darwin hit the highest daily peaks among capital cities.
Most striking was the volatility in Perth, where average petrol prices surged by a staggering 59.5 cents per litre between late February and March 11.
Warning that the regulator is prepared to crack down on misleading or deceptive conduct, Commissioner Brakey urged companies to be "open and honest" with the Australian community.
The stakes for non-compliance are set to rise significantly, as the ACCC welcomed Federal Government plans to double maximum penalties for competition law breaches from $50 million to $100 million.
"We will seek the highest penalties appropriate in any cases we bring to the courts," Brakey warned, signalling a zero-tolerance approach to unfair pricing practices during this period of global volatility.