In a record summer of turnover in all economic sectors, the Ibiza’s fuel stations show an opposite trend. Gasoline has never been so expensive but, paradoxically, fuel stations have reduced their income.
Thus, with respect to 2019, the last pre-pandemic year, gas stations have seen how their turnover drops by 10-15%, according to Mariano Matutes, administrator of Carburantes Ibiza, which manages eight gas stations on the island. A fall that for Matutes does not come as a surprise: “We expected this drop in income due to the high prices”, he admits.
This apparent contradiction is explained by the business model of the gas stations: the service stations do not charge a percentage for each euro invoiced, but per liter of fuel sold. “It is in our interest to have cheap gasoline because we would sell more and make more profit,” he points out.
The manager of Carburantes Ibiza admits that price clearly influences the consumption habits of the average citizen. Although he has not conducted a detailed study, there are some tendencies that are repeated: “At the beginning of the month, when people have been paid, they use much more gasoline than at the end of the month. This happens all the time.”
The bulk of the fuel stations’ business is with local consumers, although income peaks during the summer months. Thus, according to Matutes, the turnover of service stations in the months of July and August increases by 50% compared to the winter months.
Collection of the discount
Paying the consumption subsidy of 20 cents per liter approved by the Government on April 1st, with the price of gasoline skyrocketing, has become another headache for fuel station entrepreneurs. It should be remembered that this measure failed to contain prices, which continued to climb until they reached 2.142 euros per liter of Super 95 in mid-June.
Profit margins have fallen into the pockets of the oil companies but not into those of the gas stations. This system does not satisfy the administrator of Carburantes Ibiza, who points out that having to advance so much money generates financial problems for them.
“There are tremendous daily amounts of money that we have to advance, and they don’t pay us until the middle of the following month”, explains Mariano Matutes. “Today [yesterday] it is July 13th and we still haven’t been paid for the month of June”.
The cheapest fuel station chains in Spain
Matutes points out that on the 3rd of each month they send through all the documentation on the amounts paid for the discount to the Electronic Headquarters of the State Tax Agency Administration, and that the payment is made “sometimes within a week, but sometimes ten or fifteen days later”.
For the full article, please visit Diario de Ibiza website here.