PETROL SUPPLIES

Grey River Argus, 10 September 1940, Page 3

PETROL SUPPLIES

ONE GRADE Sales for Cash [Per Press Association] WELLINGTON, September 9. The petrol companies announce that rates are now to be on the basis of cash on delivery. The oil companies have announced that in order to make the utmost possible use of the storage space for petrol available in New Zealand to facilitate the quicker turn-round of tankers, there will be only one grade of petrol sold by each company in I New Zealand after to-day. I At present ten different brands of petrol are sold in New Zealand, and each Tias a separate storage system. This results in the loss of a good deal of storage space, and under this new scheme it will be possible to co-ord-inate the various systems and thus enable the storage of much larger quantities. The oil companies have worked out a plan to care for the storage and exchange of stocks at all ocean terminals, which will result in a reduction of time spent by tankers in New Zealand coastal waters. At present these vessels unload their cargoes at several different ports. This new plan will enable a large majority of trips to be arranged so that there is only one port of call, and, in this way, tankers will be released for urgent war purposes. In New Zealand to-day there are stocks of super-grade totalling several million gallons and the need for the earliest possible change to one grade makes it necessary for these to be blended with standard grade in approximately equal proportions. The resultant mixture will be a product of substantially higher octane rating than the present standard grade and an increase in price of one halfpenny a gallon is necessary. This increase will continue in force j until stocks of the blended spirit have been exhausted, at which time the price of the standard grade will immediately be reduced by this halfpenny per gallon. The oil companies have submitted their complete plans to the Oil Fuel Controller, who has made the closest examination of them and given his approval. When existing stocks of superspirif held by resellers are exhausted they will not be replaced. These stocks will be sold at the price which rules in the area to-day. The necessary regulations governing the increase in price have been gazetted.