Prices for home heating oil have spiked in Northern Ireland amid the conflict in the Middle East – with some more than £100 more expensive than last week.
Global oil prices have risen after Iran launched strikes across the Middle East in response to ongoing attacks by the US and Israel.
On 26 February, the average price of 500 litres of home heating oil in Northern Ireland was £307.38, according to the Consumer Council NI (CCNI).
However, the price for the same amount from one provider in County Armagh was £395 on Monday. Another provider in County Down was selling 500 litres for £425.
Almost two-thirds of homes (62.5%) in Northern Ireland use oil for heating, the highest proportion of the UK nations.
The CCNI said crude oil prices are “rising and remain unpredictable in the short term” due to the conflict but they are monitoring the situation.
On Monday, Brent crude, the global benchmark for oil prices, jumped by 10% to touch more than $82 a barrel after at least three ships were attacked near the Strait of Hormuz at the weekend. Natural gas prices also surged by as much as 25%.
Iran warned vessels not to pass through the crucial waterway in the south of the country, through which about 20% of the world’s oil and gas is shipped.
‘One more thing to stomach’
BBC News NI also spoke to people in Belfast city centre about the impact rising oil prices will have on their lives.
Ben Turner said the public has accepted “various different costs for a long time” and this is another rise “you have to stomach”.
Ben Turner says rising fuel prices will affect people’s travel decisions [BBC]
He added that rising fuel prices will only add to “already tight budgets”.
“It’ll be that factor on day trips, particularly with the nicer weather now, but actually will that trip up to the north coast cost that little bit more if the fuel prices go up? So that will be a factor in planning,” said Turner.
Natalie (right) said she uses heating oil in her home and the rise will add to the pressure of daily living costs [BBC]
Natalie, from Glengormley, said the rise in home heating oil costs puts a “lot of pressure” on households.
“It’s just really another added pressure with the cost of living in general and now with the oil prices going up, just everything’s become much more expensive,” she said.
She added: “Really, it’s been groceries as well, everything’s just gone up in general.”
‘You’re safer walking’
Kenneth McClernon said the constant rise in fuel prices means he walks more than drives [BBC]
Kenneth McClernon said he will be most affected if car fuel prices go up.
“It’s been going up and up and up and I’ve never seen it come down; very rarely it comes down,” he said.
“With everything being the price it is now, you’re better walking.”
Barbara Foster said she hopes the situation is temporary [BBC]
Barbara Foster from Portstewart said all consumers can do is “hope for the best”.
“Hopefully it won’t be very long that this goes on for, then we’ve got the summer coming up so hopefully by the autumn things [will] have got more stable.”
‘Heaven knows what price it will go to’
Motoring journalist Ian Lynas, from Portadown, said he is concerned that oil prices will be an issue for months to come.
“This affects everybody, the small business man, somebody at the green grocery shop or the clothes shop in the small town or the big town, they’re going to find their heating costs are up,” he said.
Lynas purchased 500 litres of home heating oil on Friday for £309. He said he checked the price again on Monday morning and it had risen to £415.
Tips for finding the cheapest oil
The CCNI’s advice for customers is not to settle for the first quote you receive and that it is best to buy in bulk.
Its weekly oil price checker shows typical oil prices for 300, 500 and 900 litres and is updated every Thursday.
The organisation also advises consumers to join a heating oil buying group, which sees communities pool orders from multiple households to negotiate better rates from suppliers.
The NI Housing Executive also has an oil savings network which is free to join and open to all households who either own or rent their home, while the NI Oil Federation also offers a pre-payment scheme,
Fuel stamps also allow residents to budget and spread the cost by purchasing stamps from local retailers and using them to pay for their oil delivery.
Reasons for NI spike ‘unclear’
The global wholesale price of oil rose by about 6% on Monday.
That was a relatively modest increase given the gravity of the situation unfolding in the Middle East.
It took the price of a barrel of Brent Crude to just under $80, far below the peaks of more than $100 seen after Russia’s invasion of Ukraine.
However some people have told BBC NI they have seen the price of home heating oil jump by more than 30% since the weekend.
The reasons for that much larger increase are unclear and are likely to remain so given that heating oil companies do not have to explain themselves to a regulator.
As ever, the advice for consumers is to shop around.