Why don LPG prices fluctuate to the same degree as unleaded (ULP) petrol?
LPG prices move in price cycles like petrol, however not as regularly and not to the same degree. The RAA understands that as part of the discounting cycle, retailers discount LPG price at times of low demand. Unfortunately, in Adelaide the demand for ULP is much greater than that of LPG. As a result the discounts offered within the industry to entice ULP users are much greater and more rhythmic. It is not uncommon for ULP prices in a given week to be discounted to a level close to the wholesale value in the early half of the week before increasing to a level up to 14 to 16 cents per litre above the wholesale price by the end of the week. Disappointingly the RAA has noticed the LPG discount cycle is becoming increasingly difficult to follow with prices in recent times consistently selling five to seven cents above the wholesale price.