Winston Peters says the government will pass a law to stop petrol companies "ripping New Zealanders off" if the Commerce Commission's investigation into the petrol industry finds Kiwis are being overcharged.
Yesterday, the government begun the year-long investigation into the petrol industry – almost two months after Prime Minister Jacinda Ardern said consumers were being "fleeced
The Deputy Prime Minister told Mike Hosking we are being fleeced by petrol companies and it needs to stop.
"If you look at the margins that were being charged eight years ago and what's being charged now they're up dramatically. What's the excuse? There is none."
He said the government has two options they will consider.
"We either see whether they can see sweet reason and play the game or pass a law to ensure they can't go on fleecing the New Zealand customers."
When asked what exactly the law would say, Peters replied, "to say you're going to stop ripping New Zealanders off".
"If you aren't prepared to pass a law, then your commitments are worth the air they pass on. You have to have the preparedness to make a stand in the interest of the consumer and we hope they see common sense."
Peters wouldn't comment on what he thought a fair margin was but said he "never thought it was fair 10 years ago".
The Deputy Prime Minister said petrol companies aren't the only companies which could face regulations.
"Offshore in Australia, there is a major inquiry going on into all aspects of banking and we're asked to believe in New Zealand, the same children of this offshore Aussie parent, aren't acting like Ned Kelly, but no here they are as pure a drop of snow."
He said men's wear and telecommunications company are also ripping Kiwis off, but there are no plans for immediate action in those industries.
Commerce and Consumer Affairs Minister Kris Faafoi told Mike Hosking New Zealanders are concerned that they aren't getting a fair deal at the pump.
"There are issues that we need to look at. I think making sure that we can have a look at the fuel markets, what competition issues lie behind that and making sure we can give New Zealanders some peace of mind is the right thing to do."
"For some time they've [New Zealanders] been asking, quite rightly, whether they are getting a fair deal."
When asked, "what is a fair deal?", Faafoi said it's about making sure Kiwis "aren't paying an excessive amount.
"It's making sure the margins that companies are making aren't excessive. That there is good competition within the market, either barriers to competition coming in or to those already in the market."
"I think at the end of the day, making sure we aren't paying an excessive amount that could be spent on other things. There's 6 billion litres of petrol purchased every year in New Zealand so it's a big wack of our economy and most New Zealanders want some peace of mind that they aren't paying too much."
He said the Commerce Commission will decide what a "fair margin" is in their investigation.
Mike Hosking challenged the Minister over his statement asking, "so you're telling me they will literally make that up?".
Faafoi replied, "No, they won't. I think what they are going to do and what they have the power to do now, which is a new power for them, is to be able to dig deep into the details of the wholesale, retail and refinery margins and competition and get an idea of how this industry works".
He said at the end of the day it's up to the government to decide what's a fair margin.
"It will be up to the government to look at the recommendation of the Commerce Commission, post the study and I don't want to preempt that, to determine whether or not we need to take action."
Once the report is back there will be a range of options for the government to decide between, he said.
"It's going to be up to the government to respond to them. If there are rather large issues then we will have to but at the other end of the spectrum they might come back and say, "everything'...