Calls for petrol watchdog

Petrol retailers today called for an independent watchdog to examine and regulate the working practices of the major oil companies.

The call comes ahead of tomorrow's anticipated announcement by BP Amoco that its profits have soared to as much as £11.5 billion in the last year.

It also follows record annual profits by rival Shell, which last week announced that it had made more than £9 billion during the past 12 months.

Motoring groups and retailers have reacted angrily to the level of both companies' profits - which amount to £2 million an hour.

They are particularly concerned at the amount of money being made out of British motorists in the light of last year's petrol crisis when vehicle owners, were forced to queue as pump prices for unleaded fuel soared to about 85p a litre.

Ray Holloway, director of the Petrol Retailers Association - a division of the Retail Motor Industry Federation - said the oil giants' massive profit margins also came against a background of diminishing margins for forecourt owners.

"Compare earning profits of £2 million per hour with either an income that may not cover costs, let alone make a profit, or even losing your business altogether," he said.

"That's the stark difference between the oil companies and petrol retailers in the UK."

Mr Holloway said independent retailers now ran just over half of Britain's 12,500 forecourts - and an estimated 1,000 went out of business in the last year.

But he remained adamant that the blame for the ongoing crisis for motorists and retailers lay with Government.

"Despite these enormous profits, it is the Government that mercilessly continues to take the lion's share of profits," he said.

"Shell announced annual profits of £9.04 billion, but the Government took a staggering £23 billion last year from long-suffering motorists in the UK.

"Put those figures together, and the public should not be surprised the price of our fuel is the highest in Europe.

"Now, more than ever, an oil industry regulator must be appointed as in the other energy industries, and a far-reaching inquiry launched into the practices of the oil industry."

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