With the official start of summer approaching and uncertainty surrounding the ongoing conflict in the Middle East, motorists have been warned that already high gas prices could rise even further.
Vasco Bastian, vice-president of the Bahamas Petroleum Dealers Association, said yesterday there is a 50/50 chance prices at the pump will go up, however he did not want to speculate on when, or if, this will occur.
This comes as one gas station in New Providence — Rubis in Sandyport — listed its gasoline at $7.34 a gallon on its pumps yesterday. A representative from the service station told The Nassau Guardian the increase went into effect last Thursday.
When contacted yesterday, Bastian said he was not aware that gasoline was being sold for that price at Rubis, stressing that the Sandyport location is an independent station.
He said that based on his information, gasoline prices at New Providence service stations had not yet crossed the $7 a gallon threshold.
However, he acknowledged higher gas prices brought on by the US-Israel war with Iran.
“Prices have been going up for the last couple weeks because of what’s going on in the Middle East, but I don’t want to say [if prices will increase more],” Bastian said.
“Usually in the summer months [the price of gas] fluctuates. Usually, globally prices tend to increase because people are travelling more … cost of jet fuel goes up, we still have that crisis in the Middle East so I don’t want to say yes, I don’t want to say no, there’s a 50/50 chance there will be an increase but exactly when that’s going to happen—I cannot say,” Bastian said.
According to Bastian, as of yesterday morning, a gallon of gasoline was $6.95 at Esso, $6.65 at Rubis and $6.85 at Shell.
The price of Brent crude rose to $97.81 a barrel yesterday. Analysts say the price people pay at the fuel pump is based on more than just the cost of crude oil — transportation costs, fees to wholesalers and taxes all affect the price.
Oil prices rose on the international markets following continued strikes in the Middle East despite a ceasefire in the US-Israel war on Iran.
On Wednesday, the US House of Representatives passed a resolution that would limit President Donald Trump’s war powers in Iran.
Amid this uncertainty, Bastian offered some advice to motorists looking to conserve gasoline or save money.
He said people should try to carpool when feasible and ensure their vehicles are properly maintained.
“Maintain your cars, try to get your car serviced often, that also contributes to how much fuel that you burn sometimes,” he said.
“Sometimes driving with the air-conditioning on rather than [with] the windows down because when the windows [are] down, especially if you are driving against the wind, it slows [the car] down. Use some gas treatment in your car as often as you possibly can … that’s another additive that can give you a few extra miles.”
Asked if he could predict when prices may rise, Bastian said, “I cannot say that at this time”, adding that this depends on the state of the stations’ inventory and when they have to repurchase supplies.
Bastian compared the current high fuel prices to a “bump in the road” brought on by external forces, adding that he believes these costs will eventually come down.
