Home' Convenience and Impulse Retailing : October 2010 Contents October 2010 | C&I | www.c-store.com.au
ACAPMA in the driver's seat
BP to acquire Reliance
The Transport & Logistics Industry Skills Council (TLISC) has placed the
development of skills sets and qualifications for drivers and warehouse employees
in the fuel industry on the Continuous Improvement Register. TILSC is one of 11
national organisations that have a key role in advising government on national
industry skill requirements, and providing advice to industry around national
workforce planning initiatives and the national vocational education training system.
Thanks to support from OAMPS and ACAPMA Members, who wrote letters
highlighting the need for recognised qualifications, ACAPMA will form part of the
advisory panel assisting TLISC during the project that will commence in 2011.
The project aims to implement nationally recognised qualifications for the
dangerous goods transport industry. These will be backed by specific resource
material that registered training organisations can use to educate drivers.
BP has submitted an application to the
ACCC for approval to acquire Centrel Pty
Ltd, the company that operates Reliance,
a BP brand distributor. Their intention is
to operate the business as a subsidiary
Documents now available on the ACCC
website indicate that Reliance operates
215 service stations, has 86 outdoor
payment terminals and runs 73 depots
across Australia. Reliance management
regards its business as operating in four
sectors; retail (including convenience
stores), commercial, depot management
and third party line-haul.
BP believes the acquisition represents
a positive outcome for both companies.
Mobil in 7-Eleven heaven
The ACCC has announced that it will not oppose Mobil's proposed sale of 295 retail sites
to 7-Eleven (and the on sale of the South Australian sites to Peregrine Corporation), on
the condition that 7-Eleven divest three retail sites and Peregrine one location. Retaining
ownership of these sites was considered by the ACCC to substantially lessen competition
in the relevant markets.
When the acquisition is complete, 7-Eleven will increase its store numbers to around
650, with projected annual sales of $2.84 billion, and Mobil will have achieved its aim of
selling its retail business in a single transaction - something it failed to do when the ACCC
opposed the proposed merger with Caltex in 2009.
When completed, this sale creates a new independent force in petrol convenience retailing.
However, there are concerns that were expressed by petroleum industry Associations. In
submissions to the ACCC, it was highlighted that Mobil still supplies many branded
independents that rely on the company for MobilCard and other brand services, as well
as fuel supply. These businesses are likely to lose out as Mobil scales down its marketing
support to these resellers. There is concern that Mobil will now look to exit the Australian
market completely, by either closing or selling its refining and storage.
Ethanol: An independent's view
Mr Bob Katter and Mr Tony Windsor, both independents holding the balance of power
in Federal Parliament, have called for more ethanol use in Australia.
Mr Katter suggests that 'government intervention' is necessary as a way of
encouraging motorists to take up the use of ethanol blended fuels. He believes that
the Parliament should not pass the budget proposal to increase the excise on ethanol,
suggesting that ethanol with no excise will provide greater taxation income, through
increased economic activity.
Mr Windsor has backed Mr Katter's call for increased use of ethanol, saying it could
help rescue the farming sector while reducing carbon emissions.
They consider that the businesses have
complementary operational models,
strengths and growth aspirations. BP judge
that the deal will also deliver operational
and cost synergies, while better managing
BP has also indicated that Matt Elliott, a
BP employee will replace current Reliance
CEO David Birrell. Whilst suggesting that all
of the existing team at Reliance will remain
The ACCC has written to interested parties
in the petroleum industry, asking for
comments on the impact the proposed
acquisition may have. The transaction
also requires approval from the Foreign
Investment Review Board.
ACAPMA has a proven
track record of expertise
in the industry.
Industry News, active
participation in political
employer advocacy and
access to a network of
professionals to support
and grow your business
- A range of Business Toolkits
- Representation in political and
- Industry Magazine ACAPMAg
- Access to the ACAPMAssist
- Business Training Sessions
- Employer Advocacy with
proven Commission experience
- Networking opportunities
- Member discounts at the
annual ACAPMA Conference
- Not for Profit
- Full time, qualified and
- Vibrant Trade Partner program
- Member sourced Board. Run
by members for members
Membership starts at $550.00 for
a single retail site or from
$3,300.00 for Trade Membership.
Call 1300 160 270 or visit
An Association that Delivers...
ACAPMA Fueling your business with Knowledge, Service and Value
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