HelpDesk

Michael McAleer answers your queries

Michael McAleer answers your queries

From Keith English, Sligo:

After reading the article "Tesco fuel leads to price cuts" last week, I happened to pick up the Daily Mail and on page 53 in the section "Answers to Correspondents" the following question is asked: Why are so many petrol stations closing down? The answer should be interesting.

May we assume you are against the arrival of Tescos into the market? Its keenly priced fuel will cause concern amongst filling station owners. Small operators in outlying towns and villages cannot buy petrol in the bulk that brings discounts from oil companies and allows them to cut prices to compete. But from the point of view of the motorist and consumer it would seem like long overdue competition. Petrol firms and station managers claim there is price competition in the Irish market. Yes and no.

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There are price differences on the national scene, but you usually have to travel miles to find it. Most filling stations in a particular town or parish will keep prices the same.

The arrival of Tescos in the fuel market may result in the closure of some uncompetitive filling stations and it can be argued that it will put consumers at a disadvantage, having to drive further to get their fuel. However, consumers already pay above the odds in certain areas despite having the option of driving to another part of the country for cheaper fuel. They do so for convenience, and that is likely to continue unless Tesco prices make it really worth their while.

Free market logic would suggest that, if the distance is too extreme, then a local filling station can survive by offering convenience at a premium price.

Ironically, claims that it is another nail in the coffin of village life is remarkably similar to the complaints from newsagents and corner shops when the filling stations started expanding their services to selling food, drink and magazines.

You cannot condemn price cuts which benefit consumers. Yet we have to be careful to avoid "predatory pricing" by the big players, designed simply to reduce the number of competitors in the short term.

Many areas of Irish society are changing and it's very hard to see how we can regulate to deny consumers the chance of cheaper fuel for the sake of protecting uncompetitive businesses.

From Paul Lynch:

I'm buying a new car next month but we're having a heated debate in our house over the choice of colours. Apart from our own personal preferences, is there anything we should consider when choosing the best colour for a car?

Colour choice is really a personal decision and it's hard to point anyone in the right direction as far as this is concerned. But get a clear idea of what the car looks like in the chosen colour, and not just work off a brochure shade card. The easiest way to do this is to visit the manufacturer's website. Most offer the opportunity to "build your own car" and part of this will be to see the car in the colours on offer.

In terms of maintenance, while black or white is smart on larger cars, they can be a nightmare to keep clean on Irish roads. Silver is one of the easier to keep clean and has been popular with Irish consumers, according to some dealers with whom we spoke. But it rarely stands out in the crowd. For that, you should think about red.

Send your queries to

Motors Help Desk, The Irish Times, Fleet Street, Dublin 2 - or e-mail them to motorshelp@irish-times.ie