DIESEL prices increased by 23p per litre at the start of April in the Falkland Islands.
The approximately 36.5% increase makes the price at the pump 86p per litre for diesel, bringing it nearly in line with the price of kerosene which is unchanged at 88p. There were also no changes to the price of unleaded petrol or gas bottles.
Managing Director of Stanley Services Gareth Goodwin said the rise was “solely related to world events.” He referenced the conflict in the Middle East which has “caused severe volatility in world fuel markets” as well as a “tightness in supply” which has “added additional pressure.”
Globally, fuel prices have been increasing as the war between the US and Iran continues and the Strait of Hormuz, an important shipping route for energy-related trade, remains closed.
This week the UK is hosting a virtual summit with around 30 nations to discuss plans to reopen the shipping lane, which sees around a fifth of the world’s oil and gas pass through it.
When asked whether the rise in fuel price could have an impact on electricity prices MLA Spink said, “I wouldn’t like to comment on what may happen or may not happen. Obviously if fuel goes up it potentially has an effect on the electric price… the government will need to take a view on that, on how it handles it, and how we support those most affected.”
Commenting on the global issues MLA Spink continued, “one of the problems you wrestle with as a government is, how long is this going to last? We need to have plans in place, but at the same time we shouldn’t act too fast because we need to see the way things are going to happen.”
Speaking of fuel stocks in the Islands MLA Spink added that as he understands the tank farm is “pretty full” of diesel, “so I think the Falklands is in a good position compared with the rest of the world.”
