In a 27-page report published today, the CCPC reveals that it has received more than 900 complaints from consumers from the week of 2 March.

Fewer than five per cent of complaints reported specific consumer protection issues with certain home heating oil suppliers, while the vast majority articulated high levels of “consumer distress and frustration” at sudden and significant price rises across essential fuel products.

The report notes that controlling prices in competitive markets is outside the scope of competition and consumer protection law.

The CCPC has written to the home heating oil industry to remind businesses of their consumer protection obligations under the law, incudling the requirement to clearly explain to consumers how their prices are calculated.

CCPC investigators are engaging with consumers and companies to further examine a “small number” of complaints.   

Brian McHugh, chair of the CCPC, said: “The distress and concern we heard from consumers was very real. A large number of consumers suspected that recent price increases were illegal and motivated in significant part to increase profits.

“However, while we have identified a small number of questionable consumer protection practices, we have not seen price increases that are in breach of any law. Ireland is an open market economy where businesses are free to set their own prices for goods and services.”

The CCPC report sets out a high-level markets analysis informed by previous research, a large number of merger investigations in road fuels and home heating markets, and a review of published profit margins. The analysis found that these markets are “reasonably competitive”.

The CCPC examined wholesale costs in these markets and confirmed stark increases in prices across relevant markets. The CCPC also compared movements in wholesale prices to retail prices and considered international comparisons of retail fuel prices.

Taken together, the examination of wholesale prices, retail prices and the review of the home heating oil and road fuel markets indicate that the price increases seen in recent weeks were not driven by competition issues, but rather by significant increases in international wholesale costs. 

Mr McHugh said: “The CCPC is very familiar with the road fuel and home heating oil markets in Ireland, and we know these markets are relatively competitive.

“We have examined the wholesale price increases across international markets in recent weeks. And, while we cannot rule out that individual companies may have benefited from price increases, overall, the very high price increases we are seeing nationally across both the home heating oil and road fuel markets are driven by increases in wholesale costs.”

In a statement, the CCPC said: “The number and nature of the complaints received clearly demonstrate very high levels of worry and concern among consumers and the CCPC strongly acknowledges the extent of the impact on consumers and businesses.

“However, as the increased fuel prices are not due to competition issues in the market, there are no competition or consumer protection measures that can be taken to alleviate the impacts of high wholesale prices on consumers and businesses.”

The CCPC will continue to screen contacts to its helpline for breaches of consumer protection and competition law and monitor markets for signs of dysfunction.

The CCPC will also work with the Commission for the Regulation of Utilities (CRU), as requested by the government, on a longer-term study to identify any obstacles currently preventing the electricity and gas markets from operating efficiently.