Someone asked me whether the planned new Tesco supermarket would incude a petrol station. He was disappointed that the answer was "no". He wasn't looking forward toTesco's arrival but he felt that the one product they sold that would be of benefit to Rhuthun/Ruthin was petrol.
Petrol prices in the UK are one of the highest in Europe but they seem higher in Rhuthun/Ruthin than elsewhere. A correspondent in the Denbighshire Free Prress of 15 December gave local comparisons for unleaded prices per litre (as at 3 December):
Rhuthun Texaco 92.9p
Rhuthun Esso 92.9p
Loggerheads Texaco 88.9p
Dinbych/Denbigh Morrison's 87.9p
Yr Wyddgrug/Mold Tesco 84.9p
Yr Wythgrug/Mold Esso 84.9p
Wrecsam Tesco 84.9p
Wrecsam Shell 84.9p
The difference between the lowest and Rhuthun/Ruthin was 36p per gallon, equivalent to an extra £118 per annum, assuming an annual average of 12,000 miles at 37mpg. Is this additional 10% justified and by how much would Tesco reduce the pump price anyway, given that its own petrol prices vary according to local conditions?
It is extremely unlikely that either Esso or Texaco in Rhuthun/Ruthin could ever match the Tesco price sold in nearby towns. The sales volume's not there and never would be, even at 84.9ppl. At a guess, the wholesale price is likely to be above Tesco's retail price. Petrol retailers' margins are notoriously tight. It's intriguing to note, though, that the pump price at Texaco Loggerheads was some 5% lower than in Rhuthun/Ruthin, for an outlet on the same trunk road but with a zero local catchment. Not only that, the deep rural petrol station near Betws-yn-Rhos at the crossroads of the A548/B5381 has for years been cheaper than Rhuthun/Ruthin's.
The average ppl for the UK according whatprice.co.uk 1/1/06 was 87.1p. The average in Wales was 87.5p and that in north west England 86.8p.
We would hazard a guess that there are compensations, thohgh. If you are buying fuel in Rhuthun/Ruthin regularly, you probably aren't driving far anyway. If you are doing anything like average mileage, you will hit towns like Dinbych/Denbigh, Yr Wyddgrug/Mold and Wrecsam, where you can plan your fills at lower prices.
This is undoubtedly why the last petrol station at Llangollen closed last year.
To open pumps on the planned Rhuthun/Ruthin site would sacrifie too much store or car park space, making it all unsustainable. So, that's good news for Rhuthun/Ruthin's two petrol retailers.
A couple of issues, though. First, even if Tesco was to sell petrol in the town,
Petrol prices in the UK are one of the highest in Europe but they seem higher in Rhuthun/Ruthin than elsewhere. A correspondent in the Denbighshire Free Prress of 15 December gave local comparisons for unleaded prices per litre (as at 3 December):
Rhuthun Texaco 92.9p
Rhuthun Esso 92.9p
Loggerheads Texaco 88.9p
Dinbych/Denbigh Morrison's 87.9p
Yr Wyddgrug/Mold Tesco 84.9p
Yr Wythgrug/Mold Esso 84.9p
Wrecsam Tesco 84.9p
Wrecsam Shell 84.9p
The difference between the lowest and Rhuthun/Ruthin was 36p per gallon, equivalent to an extra £118 per annum, assuming an annual average of 12,000 miles at 37mpg. Is this additional 10% justified and by how much would Tesco reduce the pump price anyway, given that its own petrol prices vary according to local conditions?
It is extremely unlikely that either Esso or Texaco in Rhuthun/Ruthin could ever match the Tesco price sold in nearby towns. The sales volume's not there and never would be, even at 84.9ppl. At a guess, the wholesale price is likely to be above Tesco's retail price. Petrol retailers' margins are notoriously tight. It's intriguing to note, though, that the pump price at Texaco Loggerheads was some 5% lower than in Rhuthun/Ruthin, for an outlet on the same trunk road but with a zero local catchment. Not only that, the deep rural petrol station near Betws-yn-Rhos at the crossroads of the A548/B5381 has for years been cheaper than Rhuthun/Ruthin's.
The average ppl for the UK according whatprice.co.uk 1/1/06 was 87.1p. The average in Wales was 87.5p and that in north west England 86.8p.
We would hazard a guess that there are compensations, thohgh. If you are buying fuel in Rhuthun/Ruthin regularly, you probably aren't driving far anyway. If you are doing anything like average mileage, you will hit towns like Dinbych/Denbigh, Yr Wyddgrug/Mold and Wrecsam, where you can plan your fills at lower prices.
This is undoubtedly why the last petrol station at Llangollen closed last year.
To open pumps on the planned Rhuthun/Ruthin site would sacrifie too much store or car park space, making it all unsustainable. So, that's good news for Rhuthun/Ruthin's two petrol retailers.
A couple of issues, though. First, even if Tesco was to sell petrol in the town,