 |
 |
 |
 |
 |
 |
 |
 |
 |
 |
PRESS RELEASES
28 March 2008
Energy Price Hike - Belfast Telegraph
The retail price of home heating oil is influenced by the cost and availability of crude oil which has been elevated in recent months by strong demand, tight global supplies and geopolitical uncertainties. The added factors of a weak U.S. dollar, investment flows from pension and hedge funds into commodities and OPEC's decision not to boost supplies has seen an unprecedented gain in crude oil prices in recent weeks. All sources of energy are under pressure due to the rising cost of crude oil and after a period of relatively ‘cheap’ energy prices the short to medium term for energy appears high. In Northern Ireland the retail price of kerosene has increased by around 55% on this time last year but this is against a backdrop of a 75% increase in crude oil prices over the same period. David Blevings said, “We are only too aware of the increased energy costs across the board and as a responsible industry we want to offer services and products that may help minimise the impact of increased prices on consumers. We are suggesting that consumers concerned about the increased prices should consider using a pre-payment system such as direct debit/giro or PayPoint to help budget for their fuel requirements. In addition, we would recommend consumers having their boiler serviced by an OFTEC Registered Technician to improve efficiency and top up loft insulation to maximise heat retention in the home”. “Most analysts would agree that a sharp price correction is due as milder weather approaches and demand slackens. The good news is that local oil distributors operate in an extremely competitive market and these competitive pressures ensure that immediately the price of oil drops on the international market the savings are offered to consumers in order to retain their custom”.