PETROL STATIONS

Evening Star, Issue 22328, 2 May 1936, Page 15

PETROL STATIONS

LICENSING TO BE PROVIDED FOR ONLY ECONOMIC NUMBER OF UNITS DESIRED [From Our Parliamentary Reporter."|

WELLINGTON, May 2

The licensing of petrol reselling stations will he provided for in a Bill which is to he introduced in the present session of Parliament by the Minister of Industries and Commerce. The legislation will he made retrospective.

In a statement made to-day, the Minister said it had been brought to his notice that since the price of petrol had bene fixed in Wellington district, considerable activity had taken place in the erection of new petrol reselling outlets throughout the country. This had no doubt been occasioned through desire on the part of those who contemplated cininencing business, or reopening those reselling points that had been closed, to participate in any assured margin of profit that would be available to them in the event of a price fixation being effected in other districts. “ Price fiixation has been designed not only to stabilise prices at their existing level, but to endeavour to maintain an economic number of units in the industry', and any increase in the number of "reselling outlets, which are at the present time considered adequate to meet present day requirements in most districts, will seriously affect those already engaged in the industry.” The Minister added that the question of the licensing of petrol service stations is at the present time receiving the close attention of the Government, and it is proposed that such legislation shall be made retrospective. Any petrol reselling stations, therefore, that have been opened since the date fixed, or that contemplate opening, will be the subject of an investigation and survey as to whether they may he considered economic units within the locality in which they are situated, and licenses will be granted or refused 'accordingly.