News operators than large ones, with 92% of Jet retailers rating their relationship as ‘good’ or ‘very good’. Murco scored 80% on the same basis, but 43% of Shell retailers and 39% of Esso retailers said they would change to a different company if they could. Retailers seemed increasingly aware that their fuel prices were being undercut by supermarkets, 86% being aware that their products were more expensive, compared to 70% in the previous, 2002 survey. Loyalty schemes came under fire from retailers, with almost half of the retailers participating in them – around half the total – saying they were ineffective in growing profitable sales. Only 3% of Esso’s independent retailers participated in the company’s schemes. Further concern was evident among RMI survey respondents about wet stock losses. The RMI’s petrol division head Ray Holloway said, “It is critical that fuel suppliers are forced by regulation or law to confirm to a more auditable method of fuel measurement that will ensure that only fuel physically delivered is charged for.”
UK, Birmingham, Fireworks prosecution On Friday 17th June 2005 at Birmingham Crown Court, Mr Baljinder Singh of Claines, Worcester was fined for overstocking and inappropriately storing fireworks at a shop premises in the Mere Green area of Sutton Coldfield trading as “Fireworks Direct”. Explosives Officers from Hay Mills Fire Safety Centre were alerted to the shop by Birmingham Trading Standards Officers who had been concerned about both the quantity of fireworks on site and the manner in which they were stored. A stock take by the Explosives Officers, and the presence of a delivery note indicating that in excess of 1500kg of fireworks had been delivered just a few hours previously, gave them grave cause for concern as the shop was registered to store only 250kg of fireworks. During the case, heard by Mr Justice Ross, he commented that Mr Singh’s manner of dealings had posed a major risk to the safety of the staff he employed and people who worked and lived in the vicinity of the shop. He went on to comment that there was a huge risk to members of the Emergency Services who would be called to the shop if there had been a fire. 16
Judge Ross fined Mr Singh £12,500 on two counts amounting to £25,000 in total. This is to be paid in full by 30th September 2005 or Mr Singh will serve a custodial sentence of 18 months. Mr Justice Ross thanked the investigating Officers for their diligence and professionalism in bringing this case before him in order to ensure the safety of the public.
Ireland, Shell in talks to offload 50 Irish petrol stations Oil giant Shell is in talks to sell off its 50 petrol stations in Ireland. The company said on June 24 that it was in negotiations with a number of bidders for the stations. Although it would not release the names, it is believed that all the major forecourt operators, including Maxol, Esso and Statoil, are interested. No price has been given out by the company, but it could fetch more than 50 million. Shell has around 50 petrol station in Ireland and services about 160 others. The business up for sale also includes its commercial fuels, lubricants and marine businesses. The company will retain its stake in the Corrib natural gas project and its aviation, bitumen and chemicals units. Shell Ireland director Frank Bergin said he hopes the sale will be concluded in a few weeks. “For reasons of commercial confidentiality, we are not able to disclose these parties, or to discuss this matter in more detail at this time. If we do decide to proceed with a sale, it would be Shell’s intention to sell the business as a going concern,” Dr Bergin said. The company said it was selling off the retail arm to focus on its more profitable business units. Competition at the pumps has eroded any gains made by the oil firm from the soaring cost of fuel. The entry of supermarket giant Tesco into the market has driven margins down further.
Ireland, April 26 2005. Esso and Mazol to swap sites in forecourt deal ESSO and Maxol, two of Ireland’s biggest petrol retailers, are expected to swap service station sites in a deal aimed at streamlining their operations. Esso recently placed 15 sites outside
Dublin up for sale as it concentrates its activities in the capital. As part of the deal, a large number of these sites will now be operated by Maxol. In return, Maxol is understood to be providing Esso with three sites in Dublin. These include the Maxol service station at Dublin airport. CB Richard Ellis Gunne is handling the sale of Esso’s petrol stations, which were riginally expected to fetch about 25m on the open market. A number of the sites will be sold separately. These include a station at Ballybrit near Galway racecourse, valued at more than 3m, and a site at Bluebell in south Dublin, which has a guide price of 750,000 with a condition attached that it no longer be used for retailing petrol. Both properties are expected to attract the attention of property developers. Separately, Maxol is creating its own all-Ireland home heating oil distribution business - Maxol Direct - in response to falling prices and tightening margins. The business is worth 200m a year to the company. Tom Noonan, Maxol’s group chief executive, said the growth of Maxol Direct was down to a squeeze on prices and margins, which is encouraging it to bypass independent distributors.
Ireland, Dublin May 4 2005. Businessman fined over safety breach after fatal explosion A Cork businessman was fined 25,000 for health and safety breaches after one of his employees was killed when a petrol tanker exploded. The 23-year-old was carrying out repairs on the empty tank when the blast occurred in September 2003. Robert Fitzgerald, from Aghada, Midleton pleaded guilty to failing to ensure the tank was cleaned thoroughly and ensuring a safe working environment before the employee began the work. He was fined 25,000 at Cork Circuit Court. Following inspections the Health and Safety Authority (HSA) found work practices at the premises were deficient in several respects. The HSA noted the tank had contained petrol as its last cargo but warned that before work could be carried out on the inside of such a tank, appropriate cleaning and gas-freeing – to remove a potentially
