Fuel prices increase again due to “Global Supplies affected by geopolitical tensions”

Petrol will increase by 48 cents to $3.50 per litre and diesel will increase by 68 cents to $3.70 per litre starting on Monday next week 4th April.

In a press release this afternoon, the government said that the fuel price hike is due to “Global supplies affected by geopolitical tensions”.

Premier Dalton Tagelagi says, “regrettably, fuel price increases have become necessary due to the ongoing mismatch between global oil supply and significant demand coupled with the market uncertainty over increasing geopolitical tensions in Eastern Europe that have driven up oil prices”.

“International disruption to the supply of oil has a direct flow on effect to the price of fuel at the pumps in Niue. Global demand and reduced supply of oil pushes up prices at the pumps as Governments and fuel retailers can’t absorb the cost increases.”

The last adjustment of the fuel prices was in January this year, and while the news may not be pleasing for motorists and many on the island, it should not be a surprise given Premier Tagelagi had forewarned fuel increases at a sitting of the Fono Ekepule last month.

In the statement, Premier Dalton Tagelagi said that the government will do its best to avoid any further fuel increases before the end of the year.

“Based on current predictions, further increases are expected but the GON will do it’s best to ensure that there are no further price increases for Niue by the end of the year”.

There will also be an increase in Jet fuel sold to Air NZ and other airlines.

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