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Slight fall in Fuel Prices but no relief in sight

date-icon 16 Sep 2011  author-icon Posted by Miriam O'Neill


The price of petrol and diesel fell back very slightly in the last month but the reductions are not as much as had been hoped, according to the latest survey of fuel prices from the AA. A litre of petrol now costs an average of 150.8 cents, down 1.1 cents from the August figure. Diesel fell by an average of 1.4 cent to 142.2 cents per litre.“There just isn’t any good news out there at the moment.” Says Director of Policy Conor Faughnan. “We had hoped to see prices fall over the last month and they did briefly but have since risen again. Both fuels are down about a cent from where they were this time last month but that isn’t much and is less than we hoped.”

The Irish motorist has been one of the losers from currency and commodity movements this month. The Euro has weakened against the US dollar and while global oil prices look a little weaker Brent Crude, which is where the great majority European fuel comes from, has stayed at or above the $110 dollar mark.

“It is not much consolation but it is not just Ireland.” Says Faughnan. “Fuel prices have stayed high right across the Continent of Europe.”

The AA does not claim to have the expertise to predict future trends in currencies and commodities but even so it appears according to indicators and to industry sources that there is no immediate prospect of relief.

“It appears as if our retail prices will stay more or less at current levels for the time being.” Says Faughnan. “We don’t know what Autumn will bring but for now we are stuck with paying prices that are at or near all time record highs. This is a severe strain on ordinary family budgets and a serious cost for business and industry as well.”

The AA calculates that it now costs motorists €9.80 more to fill a 50-litre petrol tank than it did this time last year. A diesel van with an 80-litre tank costs €14.64 more to fill than it did in September 2010.

 The AA is also warning motorists again about the dangers of ‘laundered’ diesel being sold as road fuel. Drivers are urged to buy their fuel sensibly from reputable sources and garages that they trust.

“The vast majority of garage owners are honest business people but there are some out there who have given in to temptation and are selling laundered diesel. The supply of this fuel is now a serious organised crime problem in Ireland, and it is also likely to do damage to motorist’s engines and ultimately cost them money in expensive repairs.”

ENDS/More

Note 1: See the AA’s recent Blog article on laundered diesel: 

http://blog.aaireland.ie/index.php/2011/09/02/laundered-diesel/dirty-diesel-is-a-deal-with-the-devil

Note 2: The AA’s Fuel Saving Tips.

  • Buy fuel in units of litres, not euros. This makes it obvious where you get the best value
  • Shop around: don’t always use the same garage out of habit
  • Drive smoothly and slowly; a harsh driving style burns more fuel
  • At this time of year the heaters are in constant use. This is hard to avoid but try to take it easy: Air conditioners can add up to 10% to fuel usage.
  • Don’t use the air conditioning all the time: once the air conditioning has heated the inside of the car, you may be able to turn it down or off.

Full details of the AA fuel price survey for May along with previous months for comparison are available on the Association’s website at http://www.aaireland.ie/AA/Motoring-advice/Petrol-Prices.aspx .

 ENDS

Written by Miriam O'Neill


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