Are Petrol Reserves Falling in the UK

Did you know that within the UK it is predicted that 92% of UK postcodes have more than 2 petrol stations within a 10 minute drive radius.

Did you know that supermarkets own approximately 15% of forecourts but account for 39% of total fuel sales.

Did you know that Tesco have recently taken over BP as the UK’s largest fuel retailer by volume.

Did you know that the number of petrol forecourts in 1970 was approx 37,500 and petrol cost 34.25p in comparison to 9271 petrol forecourts and petrol costs were 96.98p in 2007 down from around 18,000 1992.

The Department of Energy and Climate Change (DECC) says the UK still has “more than enough capacity” to withstand future fuel shortages. But the AA have said that we are still open as always to panic buying.

The Office of Fair Trading is gathering information about fuel supplies which is estimated to be worth £47billion a year and is considering where falling costs of crude oil are reflected in prices paid by motorists.  Their findings are expected to be reported in January 2013.

With less and less petrol stations, low reserves and a rise in motorists from 27 million to 35 million over the last 15 years, it is putting tremendous pressure on the fuel supply network.  The AA says that the industry’s “just in time” delivery business model is leaving it exposed to supply shortages in the future.

Earlier this year, Cabinet Minister Francis Maude advised drivers to fill up their tanks and store extra fuel in a jerrycan to prepare for a possible strikes by fuel tanker drivers. Demand shot up, leading to queues and shortages at some petrol stations.  This then showed that petrol stations do not fill their tanks to as much as they can due to costs.

But the DECC report, compiled by consultants Deloitte, concluded that UK retail sector had “more than enough capacity to meet fuel supplies.

Energy Minister John Hayes said: “This report was commissioned to get an accurate picture of the retail fuel market and to consider any possible implications for our security of supply”.