Business

Ascona boss gives his views on rising petrol and diesel prices

Published

5 months ago

March 6, 2022

DARREN BRIGGS, the Managing Director of Ascona Group has today taken to social media to express his personal views to the recent rise in oil prices.

Darren founded Ascona Group in 2011 in Pembrokeshire. He began his career in the industry with roles at Elf Oil UK Limited and Total UK Limited, before founding BigOil.net in2004, which he sold to the PRA in 2008. He is probably the best person in Wales to ask about fuel prices.

My personal response and views to rising fuel prices

The heightened geo-political tensions resulting from Russia’s invasion of Ukraine, and the package of economic sanctions imposed by the West in response, mean that we are seeing unprecedented increases in prices for crude oil and of course refined petroleum products (petrol, diesel and the like).

Russia is the second biggest oil producer in the world and the third biggest producer in terms of refined products. Almost 20% of the UK’s diesel is imported from Russia*

The question I get asked a lot is “why the big difference of fuel pricing between your sites and the supermarkets?”

The honest answer is that, ultimately, we will always attempt to be as competitive as commercially possible and sometimes we will retail fuel at zero or very little profit margin to remain competitive in a particularly price sensitive area. The Pembroke Dock and Pembroke area is a prime example (with competition from both Asda and Tesco). Note – Asda is an unmanned site, therefore no staffing costs!

Unfortunately for an independent business like Ascona, the supermarkets have an unfair commercial advantage.

Having worked in this sector for over 25 years, (I now feel old!) here is my insider knowledge:

The supermarkets buy their petrol and diesel on a previous (up to) a 3 weekly ‘lag’. What does this mean?

In simple terms, the fuel they sell today is based on the cost price 3 weeks ago. So when the cost prices sky rocket (as they have in the last 2 weeks), the supermarkets are still buying fuel at a substantially lower price than independent fuel retailers.

So how do independent fuel retailers buy petrol and diesel?

Most fuel supply contracts in the independent market usually last for between 3 or 5 years, and are linked to the Platts commodity price assessment for North West Europe (refined products for petrol and diesel). These products are traded in $ per tonne and then converted into pence per litre using density factors and the exchange rate between sterling and the dollar. There are other elements such as bio fuels, ethanol and others, but let’s try and keep this as simple as possible!

Is there a big pricing lag for independent retailers?

Sadly, no! We do not enjoy a 3 weekly lag that supermarkets do. However, we do have the choice between a weekly lag or a previous day market on close price.
In a very volatile market (like now) the weekly lag offers some protection or comfort in a rapidly increasing market, but if any particular forecourt or business has a high volume of sales, this is short lived.
When prices are volatile and increasing on a daily basis, having fuel delivered from your supplying oil company based on a previous day market on close price means that it is extremely difficult to remain competitive. In fact, it is impossible. If you take the average of last weeks prices, petrol and diesel have risen by over 7 and 12 pence per litre respectively. A forecourt operating on a previous day price would have to pass on these huge cost increases immediately. Not doing so would be commercial suicide, but this leads to big price differences at the pole sign!
It should be noted that all Shell branded dealer sites across the UK operate on a previous day market on close price. I estimate over a third of dealers operate on a previous day market on close price.

Ultimately, ours is a very tough industry to be in. Forecourts have to rely on retail shop sales and other associated retail services to remain competitive and to make a net profit.

Taking into account the increases in energy costs and minimum wage increases this year, the average petrol forecourt in the UK costs over £20,000 a month to run. Fuel volumes are still around 90% of pre-covid levels and fuel margins remain between 5 and 9 pence per litre depending on price sensitivity of the local area, since Covid.

However, the fuel margins in the coming weeks will inevitably reduce as we try and remain as competitive as possible within the UK retail fuel market. There will be significant price differences in pole sign prices.

I will leave you with a final thought …

Whilst the mainstream media is bemoaning fuel retailers for increasing prices at the pole signs, international wholesale markets are in fact driving global change for reasons identified at the beginning of my post.

The UK, in fact, probably has cheapest petrol and diesel in Europe when you deduct motor fuel duty and VAT. But of course someone has to pay for furlough?

*source – Goldman Sachs strategic review February 2022.

Business

Ice cream van breathes new life into Nolton Haven – and offers change for car park

Published

2 days ago

August 10, 2022

Dave Glover

HAVING a well-stocked ice cream van in Nolton Haven has been a great boost to the area, locals have said.

With no other option for visitors to get refreshments now that the local shop has closed, Pembrokeshire Super Whippy has stepped in to fill the void – selling the traditional ice cream favourites as well as soft drinks.

Already with one ice cream van stationed at Broad Haven owner Martin McGeown has now been keeping local and holiday markers alike happy over recent months, at Nolton Haven as well.

Draw for tourists: Pembrokeshire ice cream (Image: File)

Mary White, who lives in the area, said that she felt the ice cream van was now necessary for the success of Nolton Haven as a destination beach.

“Its great to have a lifeguard here, but if people can’t even buy a bottle of water, it’s a problem.”

“We’re much more likely to get visitors to Nolton Haven If there are facilities here for them.”
John Lee, whose family come from Nolton, and is back visiting the area said: “One of the joys of spending childhood summers in Nolton was getting an ice cream or cold drink from the shop.

“Now that the nearest shops are in Newgale or Broad Haven, it’s a valuable service that can only boost tourism.

“If this is a decision by the council then this is fantastic,” he added.

Another resident said: “To be honest the car park is a nightmare, and without the ice cream van many would be stuck. There is no signal for the card payment machine, so everyone goes to the ice cream van to ask for change for the car park meter from the Pembrokeshire Super Whippy van.

Martin McGeown told The Herald that he has been doing well in the spot, but said he’s never had to give out so much change now that the car park is chargeable.

“I always bring extra on the van, he said, otherwise it would be chaos down here in the car park.”

So why not visit Nolton Haven, located within the sweep of St Brides Bay, Nolton Haven is a small, fairly sheltered cove, facing south-west, the beach is made up of sand and shingle with rock pools and cliffs on either side.

The beach is quiet and unspoilt although in the past, like Little Haven, this was an export point for coal and a hive of activity.

The flat grassy terrace above the beach was the coal storage yard and a walk along the Pembrokeshire Coast Path in both directions reveals remnants of old coal workings.

Beach side facilities are limited although there is a pub and a slipway allowing launching.
The beach is popular for watersports as well as swimming and boating.

The coast here is designated as the Pembrokeshire Marine Special Area of Conservation in recognition of its valuable marine life.

And of course, after your visit, stop for an ice cream and support a fantastic local trader!

Tons of change for tourists: Ice cream van is keeping car park going, as there is no signal for online payments (Pic: Herald)

Business

Pembrokeshire camping sites named among the best in UK

Published

3 days ago

August 9, 2022

Tom Sinclair

BRITISH camping has boomed in the last two years, with 4.5m Brits going camping or caravanning for the first time since the start of the pandemic, according to Mintel. And new research has now revealed 10 of the best secret camping destinations Britain has to offer, with Abereiddy and Havefordwest in Pembrokeshire amongst the top locations.

To uncover the country’s hidden gems, tyre and vehicle services provider, ATS Euromaster, researched the top camping destinations social media doesn’t know about, by revealing the number of positive reviews on online camping sites with fewer than five Instagram tags.

These stunning sites won’t break the bank either, with prices starting at only £8 a night for two adults.

The highest reviewed UK locations that have flown under the social media radar are:

1. Wareham, Dorset

Wareham is a pretty riverside town, close to the South coast in Dorset, 8 miles from Poole. The thriving market town is situated where the rivers Frome and Piddle meet and offers lots to do.

Hidden gem: Trigon Farm is set in a rural field near Wareham, with views of Trigon Manor house and arable fields to the left and beyond. This is a great site for families, with great facilities. It’s also dog friendly.

Prices from: £17 per night, for a tent or trailer pitch.

2. Dorchester, Dorset

A historic market town on the banks of the River Frome to the south of the Dorset Downs, Dorchester is a vibrant place ideal for sightseeing. Some of the UK’s best-preserved Roman ruins are situated moments away from the thriving high street.

Hidden gem: Dewflock Farm is a working farm where people can camp and glamp, just 5 minutes from Dorchester. It’s a great base for people to explore Dorset, including the lovely beaches nearby.

Prices from: £100 per night in a Shepherd’s Hut.

3. Winnats Pass, Peak District, Derbyshire

An impressive limestone gorge in the White Peak area of the Peak District, Winnats Pass is a perfect spot for camping. The limestone is full of fossils of sea creatures which lived here over 350 million years ago.

Hidden gem: Newfold Farm is a family-run campsite at the start of the Pennine Way. It’s great for hikers and cyclists. It’s also half a mile from a pub and railway station.

Prices from: £20 per night, tent pitch.

4. Truro, Cornwall

The only city in Cornwall, Truro is a foodie destination surrounded by beautiful gardens and rivers. The cathedral city offers a perfect blend of historic charm and modern retailers, while tranquil camping among pristine nature is never far away.

Hidden gem: Callestick Camping is a dog-friendly wild camping field with spectacular views over the Cornish countryside, and only 10 minutes’ drive from the beach.

Prices from: £17.50 per night, tent or trailer pitch

5. Abereiddy, Pembrokeshire

Abereiddy, a small hamlet in Wales, is a perfect place to get away from it all and immerse yourself in the beauty of the Pembrokeshire coast.

Hidden gem: Eco Caerhys Camping in St Davids offers wild meadow camping at an organic farm on the Pembrokshire coastline. It’s a great place for active people, with surfing nearby.

Prices from: £30 per night, tent pitch

6. Dodd, Cumbria

A fantastic place to get stunning views of Cumbria’s lovely Lake District, Dodd is just a few miles north of Keswick.

Hidden gem: Newlands Valley Campsite is close to Keswick and Derwentwater. It’s a great place for outdoorsy people, with mountain biking, boating and quad biking offered nearby.

Prices from: £23 per night, tent pitch.

7. St Austell, Cornwall

A striking curve of spectacular coastal scenery and an area rich in cultural heritage, St Austell is one of Cornwall’s biggest towns, boasting many gorgeous beaches.

Hidden gem: East Crinnis Camping in Heronbank is a working farm and wildlife haven half a mile from the Cornish coast with easy access to destinations like Fowey, Mevagissey and the Eden Project.

Prices from: £16 per night, tent pitch

8. Haverfordwest, Pembrokeshire

Haverfordwest is the attractive and ancient county town of Pembrokeshire, steeped in history with a castle and museum, which used to be the prison governor’s house.

Hidden gem: The Three Fields Campsite is a spacious site with a private toilet, shower and firepit at each pitch, situated just 10 minutes from Haverfordwest.

Prices from: £26 per night, touring pitch

9. Skegness, Lincolnshire

Skegness is a seaside town in the East Lindsey District of Lincolnshire, offering lots of family-friendly attractions.

Hidden gem: In a countryside setting but only two miles from Skegness, Birchwood Fishing and Camping offers fishing on a large lake in the lovely Lincolnshire countryside.

Prices from: £8 per night, tent pitch

10. Chester, Cheshire

Arguably the richest city in Britain for archaeological and architectural treasures, Chester boasts the most complete city walls, the oldest racecourse and the largest Roman Amphitheatre in the UK.

Hidden gem: Kings Acre Glamping is deep in the Cheshire countryside, yet only 10 minutes’ drive from Chester. Barbecues are allowed, with firepits and professional pizza ovens available to hire.

Prices from: £25 per night, tent pitch

And for those looking to get away on a camping trip, experts at ATS Euromaster have compiled a list of five things to do to your car before setting off on a camping holiday:

Check your tyre pressure and tread depth – make sure it is at the recommended depth. The legal limit is at least 1.6mm across the central three-quarters of the tyre.
Make sure you have a spare tyre and that you know how to change it. You don’t want to get stuck in the middle of the English countryside with no phone signal and a flat tyre.
Check your engine oil and vehicle coolant levels and fill up if needs be.
Ensure that your battery is not going to run flat while you are on your trip. If your engine seems slow to turn over or your lights are flashing, it may be running low.
Check your windscreen for cracks and ensure that wiper blades are functioning properly.

Business

Hotel and restaurant chain announce purchase of ‘Cornstore’ in Pembroke

Published

5 days ago

August 7, 2022

Tom Sinclair

WELSH company, Seren, are pleased to announce the acquisition of the ‘Cornstore’ in Pembroke.

Cornstore is in an incredible location on the quayside, with an inspiring view of the historic Pembroke Castle.

The Cornstore will house “Routescape,” Seren’s bespoke luxury travel agency. Seren also intends to grow their café venture by opening a second café at the Cornstore.

Routescape was founded in 2019 and the devoted team of travel advisors provide outstanding experiences across Great Britain, Ireland and France for guests from all around the world.

They offer an unrivalled service, giving an authentic luxury experience with a genuine feeling of place.

Moving to the Cornstore is a significant step in the growth of this fascinating young firm, providing it with a setting as inspiring as the tours it offers.

The Seren team has also been looking for its next café venture for some time and is delighted that their search has led them to the beautiful Pembrokeshire.

The Routescape team will move into their new space in August, while the Cornstore Café will undergo a renovation later in the year.

Managing Director, Neil Kedward, said: “We have been looking for a second café location for some time and the Cornstore is in an outstanding location right on the quayside in the truly historic Welsh town of Pembroke, overlooking its iconic castle.