The consumer watchdog launched the investigation in January after prices rapidly increased last year. In a report last week, it found the “price spike” lasted only a short time. OFT officials attributed the sudden price increase to a 40 percent spike in demand, combined with oil supply problems caused by impassable roads due to severe cold weather.
The OFT said that in fact, 90 percent of the change in the price of customers' heating oil was due to changes in the price of crude oil.
"On the whole, competition works well, with consumers offered a good choice of suppliers, and the off-grid sector does not need price regulation," the OFT said.
"However, the OFT does have concerns that some heating oil and possibly some other off-grid fuel suppliers may not be treating their customers fairly and is currently examining practices further."
Despite last year's price "spike" for heating oil, the OFT found that 97 percent of off-grid customers lived in areas where they had a choice of at least four suppliers.
It concluded that there was real competition among the sellers, which had restrained prices and prevented profiteering.
About Moorland Fuels
Moorland Fuels was formed more than 15 years ago. The company started by supplying lubricants throughout the South West. Moorland Fuels is still a family-run business. Our reputation has been built by our team of dedicated drivers and staff. We all believe in what we do, and this can be seen in our commitment to excellent service, which gives us the edge over our competitors.
We are a fully independent fuel distributor sourcing quality products at the most competitive price to industry, farming and the home. We run all our own vehicles, both for fuels and lubricants, from our depot in Okehampton and keep an extensive stock to meet all our customers’ demands. This gives us the flexibility to provide a fast, efficient and professional service to our customers. If you need heating oil in Devon give us a call.
For more information or to place an order, call (01837) 55700 or visit www.moorlandfuels.co.uk.
Released October 20, 2011