Singapore: Shell will slowly phase out 92-octane petrol

Shell has announced that it will be phasing out its Shell Formula 92 petrol progressively across its network of stations island-wide.

OneShift Editorial Team

16 May 2009

The phase-out, which Shell expects to be completed by the end of June 2009, is to help enable Shell to meet the growing demand from motorists for higher-octane main grade fuels, such as Shell Formula 95 and Shell Formula 98.

According to Mr. Henry Chu, General Manager, Retail Sales & Operations for Shell Eastern Petroleum (Pte) Ltd, "Demand for 92-octane fuel has remained flat at five per cent of Shell’s total fuel volume."

"This figure has remained constant even when oil price was at its peak of almost US$147 per barrel last year. On the other hand, demand for our 95-octane and 98-octane main grade fuels has been growing."

He added, "There is also a misconception that the lowest-priced grade of unleaded petrol, that is 92-octane fuel, is the most economical. That is not necessarily the case. Shell’s research and other studies have confirmed that adaptive engine management systems found in modern cars, such as knock sensors, lead to better fuel efficiency when higher-octane fuels are used."

A research paper published by the Society of Automotive Engineers in 2006, "The Impact of Gasoline Octane on Fuel Economy in Modern Vehicles", investigated and compared 91-octane and 95-octane fuels with respect to fuel efficiency.

The results showed that higher-octane fuels led to better fuel economy in all tested cars and in three different driving cycles. Fuel economy benefits varied from 0.9 to 4.3 per cent when switching from 91-octane to 95-octane fuel.

According to Shell Singapore, demand for its Formula 92-octane fuel locally has been consistently low for several years. Globally, several countries have already phased out 92-octane fuel to better support modern car engines that are designed for fuels of minimum 95-octane level.

These include Hong Kong* (with a government mandate for minimum 95-octane fuel) and Germany* (2008).

In Singapore, Shell is the first company to decide to no longer offer 92-octane petrol. At the time of the publication of this news piece, all other companies (SPC, Esso, Caltex) continue to offer motorists the choice of 92-octane petrol.

[I]* - The removal of 92-octane petrol in Hong Kong and Germany were industry-wide moves and not just Shell-specific.[/I]

Credits: JRC