Iran war with Israel and Trump: Northern Ireland Home heating oil prices surge by over 50%
The cost of home heating oil in Northern Ireland has soared since the US and Israeli strikes on Iran that killed Ayatollah Khamenei.
Prices in some cases have risen more than 50% since last week, when the military assault got under way.
The News Letter has looked at prices from suppliers in various locations: one major outlet in greater Belfast was quoting £519 for 900 litres last week and last evening was quoting £819, a sharp increase that has happened in stages over the weekend and since.
Homeowners appeared to be buying on Monday in large volumes, according to suppliers.
One told the News Letter that they were no longer quoting for 900 litres due to a surge in demand.
A key part of the problem is that Iran has tightened shipping through the Strait of Hormuz, through which 20% of the global oil and gas supplies are moved.
UUP Economy spokesperson Diana Armstrong MLA warned that the global instability is now directly impacting on home heating oil prices in her constituency.
She said: “Suppliers have already hiked prices, with some of my constituents quoted £636 for 1100 litres last Thursday, now facing £920 today, a shocking rise in just days. This is pushing the average cost of 500 litres of kerosene above £400 and continuing to rise. This represents a staggering £100+ increase compared to last week.
“Northern Ireland is disproportionately affected, as so many of our households rely on home heating oil for warmth, particularly during these challenging times. This surge will place immense pressure on families already struggling with the cost of living."
Her party has written to the regulator, calling for a thorough investigation to ensure there is no profiteering by suppliers, she said.
Raymond Gormley, Head of Energy Policy at the Consumer Council said: “As we import all our home heating oil, Northern Ireland is at the mercy of volatile global oil markets and the price that consumers pay is impacted by a complex range of factors, including geopolitical tensions which can result in price fluctuations.
"Home heating oil prices had been increasing slowly over the last couple of weeks, with 500 litres £307.38 on the 26th February, up £13 on the previous week Home Heating Oil Price Checker | Consumer Council.”
When they publish figures on Thursday they will be able to assess the impact more clearly, he said.
The AA said it has seen "a significant surge" in the cost of oil but that market traders had already factored in much of the increase, which had already reflected in wholesale petrol and diesel prices.
AA President Edmund King said: “Pump prices in the coming weeks will inevitably increase, at worst in the short-term back up to where they were at the start of year. Petrol in February had been at a low of 131.9p a litre. It had started this year at 135.7p a litre."
He added: "Most drivers willl already have filled up for the start of the working week which gives plenty of time to gauge what is happening at the pumps and then go looking for the cheaper fuel.”