ICCC SAYS FUEL PRICES SPIKE DUE TO MIDDLE EAST CONFLICT

THE Independent Consumer and Competition Commission (ICCC) say the fuel prices for domestic petroleum products will increase, as a result of the ongoing conflict in the middle east.

In a statement, the price regulator’s commissioner and CEO, Mr Roy Daggy said, as the US-Israel-Iran conflict continues, the global oil prices have increase significantly.

There is a growing pressure on oil prices, with the strait of Hormuz, a critical shipping route responsible for transporting 80% of crude oil to Asia being blocked along with other disruptions of oil production in the middle east.

Mr Daggy notes that as of 9th march, the brent crude oil price increased by approximately 55%.  From the 317.42 kina per barrel on February to 492.26 kina per barrel in March.

He adds that this issues, along with the increased freight charges for shipping, the domestic retails pieces for refined petroleum products are expected to increase this month.

Mr Daggy says the ICCC is working with the relevant authorities, including major fuel suppliers in PNG, to ensure national fuel supply security and market stability.