The Straits Times reported that Shell will stop selling the budget fuel due to low demand in Singapore. Shell has already reduce the number of its stations selling 92-octane fuel.
Would this mean an extinction of the budget fuel in Singapore?
The Customers Association of Singapore (CASE) has voiced its concern that this action taken by Shell would spark off a domino effect on the other petrol companies in this cartelistic market. ExxonMobil and Caltex have both stated that they would continue to sell the budget fuel.
At this period when fuel prices are low (as compared to the peak it reached last year), the decision by Shell would likely be of limited disruption to Singaporean drivers.
According to a study by international automotive engineering institute SAE, “using a higher octane fuel can improve fuel economy by up to 4.3 per cent.” That was a research based on European vehicles. For Singapore models, Shell’s fuel technology manager (Asia Pacific) predicts that “drivers can expect a 2 per cent improvement in economy if they switch from 92 to 95 – if the car owner’s manual recommends 95 in the first place.”
Reference: The Straits Times (15 May 2009)