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ARTICLE · 18 DECEMBER 2013

ColeWorths & ACCC meet halfway to get the ACCC off their case

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Megagrocers undertake to stop cross-subsidising on fuel & groceries and to restrict their fuel shopper docket schemes,.

AustraliaAntitrust/Competition Law
Michael Bradley
Michael Bradley
Kiran Bath (Formerly With Marque Lawyers)
Kiran Bath (Formerly With Marque Lawyers)
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Megagrocers undertake to stop cross-subsidising on fuel & groceries

Earlier this year we contemplated whether the ACCC's allegations of predatory pricing against Coles and Woolworths would hold up in court and projected the unlikelihood of such claims being successful.

Turns out the supermarket giants weren't so self-assured as last Friday ColeWorths busted out with undertakings to restrict their respective fuel shopper docket schemes by:

  • limiting discounts on fuel to supermarket customers to a maximum of 4 cents per litre (as at 1 January 2014); and
  • funding fuel discounts from within fuel retailing operations, as opposed to being funded by their thriving groceries sales.

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