Government is giving the assurance that it will not allow gas station operators to hike fuel prices at the pumps.

Energy Minister Stuart Young yesterday gave the assurance after Opposition Senator Wade Mark claimed liberalisation of the fuel market would result in high gas prices.

However Minister Young said the Opposition was about injecting fear into the population.

The Minister was speaking in the Senate on the Finance Bill.

Minister Young said there would be the introduction of competition despite what Senator Mark was trying to project.

He said there would be competition at the pumps because one gas station owners purchase their fuel from NP or Unipet; they can put a profit margin on it.

According to the Minister right now the market is capped.