What's happening to all the petrol stations?

[AlpinePossum]

Diamond Harbour station died a few years ago... I sort of understood that. More expensive petrol, everybody commutes to Christchurch or Lyttleton anyway.

But now Lyttleton doesn't have a petrol station! WTF?! That's where all the go juice comes into Canterbury anyway! It has heavy industry! And a large township! What the hell is up with the economy!?

Sigh! A Long range tank on my Suzi would solve it for me... but I've sort of stopped investing in it as I figure the Nat's are out to kill the sport.

Now there is only Little River and Akaroa on the whole Banks Peninsular.

Is this happening elsewhen in the country?

[slofox]

Yep. Even The Tron has lost servos in the last decade or so...

[danchop]

theres no money in fuel retailing

[McJim]

As consumers we tend to see petrol stations as extensions of their brands. the reality is that many of them are small businesses in their own right with a franchise to sell petrol and diesel from one of the big petrochemical companies. If Joe Bloggs the petrol staton owner cannot make a living out of his petrol station he will try to sell up or will simply close.

The petrol companies don't care as the vehicle owners HAVE to get petrol and will buy from another outlet.

The customer is always right....unless they are captive. :rofl:

[Virago]

Plain and simple - economics.

Due to the lower volume of sales compared to the big inner-city stations, the very small margin on the petrol sales simply doesn't cover the costs of running the station. If they put the prices up to cover costs, people will fill up next time they're in town to save money, cutting the local sales still further. It's a downward spiral...

The fuel companies are usually not supportive either, as it's not economic for them either. The crunch often comes when aging fuel storage tanks need to be replaced. The end...

[James Deuce]

Not quite that simple. If the Oil company wants a retailer out they simply demand a tank replacement. If the retailer won't replace the tanks the shop shuts.

Peter Dunne, damn his oily hide, busted this practice in the Hutt and Stokes Valley after a number of retailers were served notice by the Oil companies.

[Kickaha]

But now Lyttleton doesn't have a petrol station! WTF?! That's where all the go juice comes into Canterbury anyway! It has heavy industry! And a large township! What the hell is up with the economy!?

Lyttelton hasn't had a gas station for a considerable time now

We counted about 10 Chch/Canterbury gas stations that had closed in the last 4-5 years when we had a quick think about it a few months ago and no doubt there was a few we missed

[Usarka]

Further to travel to get petrol = more gas used = higher revenue for the oil nazis.

[Motu]

When the fuel industry was degregulated we were told we would get cheaper fuel and better service stations.First thing the oil companies did was take over control of the service stations and start shutting them down.Instead of family owned small business doing what was needed to earn a living,we got oil companies do what THEY wanted,and to hell with anyone who got in the way.

Bring back regulation,where the Government told the oil companies what to do.

[AllanB]

Taipapu has been closed for a while - the notice says 'due to health' - unsure if it will reopen.

The first one coming into Little River gets a bit of weekend trade by the bikes - always surprises me how many need to fill up there (must be hoons!). The one further up the road at Coop Town appears very farm related (remember to slow down to 70 through here - it's a good spot for the police to hide and ping you) . Akaroa is well serviced by boaties etc.

It's a shame in many ways as the friendly local stations are gone or going to be replaced with the super-market-petrol stations. They have no soul and just suck money from your wallet.

Just quietly, I have had business experience with some of the big
ones - the point of sale discount to the retailer is usually relatively low - the corporate rebate that the station owner never sees, which goes to head office is massive.

[Ocean1]

When the fuel industry was degregulated we were told we would get cheaper fuel and better service stations.First thing the oil companies did was take over control of the service stations and start shutting them down.Instead of family owned small business doing what was needed to earn a living,we got oil companies do what THEY wanted,and to hell with anyone who got in the way.

Bring back regulation,where the Government told the oil companies what to do.

Blame the RMA, it made all compliance issues the responsibility of the product owner. All of a sudden Ma & Pa's dodgy 30 year old tanks became the oil companies' problem. What would you do, replace all the privately owned tankage at your own cost or simply decline to fill 'em?

[Motu]

More than the tanks - also all the contaminated ground around the tanks.Last site I was at where the tanks were replaced,there were chemists on site taking soil samples all the time.When an oil company vacates a site,they have to replace all comtaminated soil.

[Winston001]

More than the tanks - also all the contaminated ground around the tanks.Last site I was at where the tanks were replaced,there were chemists on site taking soil samples all the time.When an oil company vacates a site,they have to replace all comtaminated soil.

Yeah its a nightmare. I've watched one garage do this which involved putting replacement tanks in. All contaminated soil had to be traced and removed. Then seepage tests over months to check if there was any more. Supposed to take 3 months but took about a year before the local Council approved completion. Thats a long time for a business to be without fuel sales.

[AlpinePossum]

Yeah its a nightmare. I've watched one garage do this which involved putting replacement tanks in. All contaminated soil had to be traced and removed.

Basically the bill is due for decades of polluting... and instead of paying they are doing a runner.

Great.

Don't blame the RMA, blame those who took decades of profits without putting any into the piggy bank to clean up the mess they made.

But don't worry... when your water starts tasting of diesel... your tax money will pay to clean it up.

[frogman3]

i think it's the recession mate. ppl have less money to spend on fuel.

[pete376403]

In Upper Hutt, of the 14 or so gas stations that I can recall between Rimutaka and Silverstream, only six are still trading.

[jim.cox]

In Upper Hutt, of the 14 or so gas stations that I can recall between Rimutaka and Silverstream, only six are still trading.

State Highway 1 through Dunedin is now down to about four stations

And its not just the small operators being forced out

The big companies seem to have an active policy of closing stations

I'm sure its part of a long term strategy of maximising profit - the service part of the equation went out the door years ago...

[vifferman]

It's even the case in D'Auckland - our nearest station (Caltex) shut a couple of years back, and I noticed the BP over by the Whenuapai turnoff has closed, and another one on the North Shore too.

It's not really surprising, if the comments are true about most of the profits being from sales of things other than petrol.

[davereid]

Its actually due to taxation.

Petrol is what is called a vertical market - the same supplier(s) control the product from the hole in the ground in the gulf, to the hole in the side of your car or bike.

So, they operate the business at a loss, or close to a loss in high tax countries, and only make a profit in low tax countries.

So, NZ is a high tax country, compared to say Singapore.

So the oil company will buy the gulf fuel from itself in singapore, mark it up and sell it to themselves in NZ, where it will be sold at cost.

Or at least the cost of buying it from themselves in Singapore.

[Ocean1]

So, they operate the business at a loss, or close to a loss in high tax countries, and only make a profit in low tax countries.

Yes. If you're making a profit in NZ you're an idiot.

Drop the corperate rate 2% and all the Aus-based multi-nationals would start contributing to NZ coffers instead of siphoning cash back to Sydnee.

[cowpatz]

More than the tanks - also all the contaminated ground around the tanks.Last site I was at where the tanks were replaced,there were chemists on site taking soil samples all the time.When an oil company vacates a site,they have to replace all comtaminated soil.

So where does the contaminated soil go....underground???
Word is BP is on the way out.

[Motu]

It's taken away to be stored and monitored.The regulations are crazy - at my site when the tanks were done (I worked out of one door (of 3) for 6 weeks,it killed my business),the holes had to be filled overnight.So they would dig a hole for the tank,fill it in,dig it out the next day,lay pipe work,fill it in,dig it out the next day,drop in the tank,fill it in,dig it out the next day,do the pipe work,fill it in,dig it out.......

[Ocean1]

So where does the contaminated soil go....underground???

SOP for fuel contaminated soil is to spread it out and let the contaminants oxidise. Need to turn it over occasionally. It's checked for heavy metals and other contaminants that won't effectively be dealt with this way and eventually pronounced safe.

SOP for dioxin contamination from old wood treatment plants is to pass the buck until it's not your fault.


they would dig a hole for the tank,fill it in,dig it out the next day,lay pipe work,fill it in,dig it out the next day,drop in the tank,fill it in,dig it out the next day,do the pipe work,fill it in,dig it out.......

I despair, I really do...

[Zuki lover]

No money in petrol, unless you are the big boys..... little service stations have been dying for many years now - sad but true :crybaby:

[EJK]

Time to go electric :(

[Pedrostt500]

there are 4 that have closed in the Petone / Alice Town area in the last 18 months that I can think of.

[Little Smurf]

The Caltex in Sanson SH1 is closing it's doors this Friday, the locals use this one alot and prefer it to the Shell the employment for 6 of the locals is no longer :( also so it is quite sad, Sanson isn't a big place and having the pub and now the Servo close it doesn't look to good for us!!

The Caltex in Marton closed a couple of weeks back it's so sad that the little towns/villages get hit the hardest. Now for poeple who have a star card now have to go to either Feilding or Palmy, doesn't make much sense!!!!!

Boo boo the big coporate's :bash: