Government must act on petrol price or face mass action, warns Plaid candidate 4.1.11

Mabon ap Gwynfor, Plaid Cymru candidate for Clwyd South, has written to Chancellor George Osborne urging him to implement a fuel duty regulator as the cost of petrol and diesel increased as VAT went up to 20% at midnight.

Fuel prices in the area are amongst the highest, with fuel price nearing £1.40 a litre. Mabon ap Gwynfor warned that if no action was taken to control fuel prices interested parties would organise action to try and force change. 

Plaid Cymru have long campaigned for a new mechanism to cap petrol prices. 

Plaid Cymru and the Scottish National Party put forward a motion to amend the Finance Bill in 2008 to create a Fuel Duty Regulator, but it was voted down by Labour. 

The creation of such a regulator is backed by leading industry voices such as the Road Haulage Association. 

Under such a plan, an unexpected spike in petrol prices would lead to a freeze on fuel duty.

Mabon ap Gwynfor said:

“Fuel price was already at an all time high, and this VAT increase has hiked it up even further. Public transport is not always convenient, especially in the more rural areas, therefore driving a car is an essential part of life.

“We desperately need to regulate fuel prices in order to avoid such price hikes. A fuel price regulator would bring duty down if there was a spike in oil prices. It is disgraceful that fuel prices are so high here in Wales when we have oil refineries right on our doorstep.  

“The UK Government must do something to bring down fuel prices or 2011 could see more direct action from various interested parties, and our major road networks coming to a standstill”. 

Llyr Huws Gruffydd, Plaid Assembly candidate for the North Wales region said: 

“High fuel price affects every industry. As someone living on a family farm in rural Denbighshire I know how it affects agriculture and the other industries that supply the sector. With Fuel Duty expected to go up again in April it is clear that it is high time that the Government introduced a mechanism to ensure that fuel prices are brought under control. A Fuel Price regulator, as proposed by Plaid Cymru, would ensure that customers would not have to expect regular rising fuel prices as we have seen recently. Prices were unreasonably high prior to today’s increase. The VAT rise to 20% will make things that much harder for people in north Wales.”  

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