Motorists across northern Scotland are being braced for further inflation on fuel as oil prices soar to record highs.
Vendors across the north and north-east have reported rises in petrol and diesel prices at the pumps this week with some warning the worst is yet to come.
Esso Blackpark garage on Clachnaharry Road in Inverness has increased prices by 2p overnight.
Manager Kevin Anderson said: “We got a full fuel delivery this morning, so we are full.
“Our price went up today by 2p but we are still a bit lower than the rest at the moment.”
Unleaded is currently sitting at 149.9 a litre, with diesel being sold for 155.9.
Meanwhile, operators of Craigellachie Filling Station in Aberlour say they have seen an influx of customers in recent dats as they warn prices are likely to rise again from Monday.
A spokesman for the garage said: “The price is definitely rising; it is likely to rise in the next week again.”
At the Shell garage in Alford they said they haven’t seen a rush in customers racing to the pumps.
However, staff at the Aberdeen Road garage say prices have “shot up” following their last two deliveries.
The price of unleaded currently sits at 153 followed by 164 for diesel.
Gordon Balmer, executive director of the Petrol Retailers Association (PRA) says rising fuel prices are necessary to keep forecourts in operation.
‘Pump price increases are necessary’
He said: “Over the last 24 hours the price of oil has increased due to concerns over the events in the Ukraine. We expect the rise in global prices to continue and be reflected in UK pump prices, as is the case all over the world.
“Rising fuel prices have put further pressure on margins, and pump price increases are necessary to ensure that forecourt operators can continue serving their communities.
“We have noted calls from some quarters calling on the government to either reduce fuel duty or cut the level of VAT on fuel in an attempt to reduce the burden for consumers. The PRA would support this move to help our customers.”
Earlier today, Aberdeen University professor Alex Kemp said the Ukraine conflict combined with the “Covid-induced recession” had caused prices to spike.
Speaking to BBC’s Good Morning Scotland, he said: “For the short-term, for a matter of weeks anyway, we can’t expect the price to fall, it’s more likely it will rise.”
Supply still strong
Oil prices have reached record highs today as supply tightens.
Brent crude – the global benchmark for oil prices – climbed to almost $120 (£89.68) a barrel today; the highest since 2012.
The rise comes amidst disruptions in selling Russian oil as traders battle to avoid becoming entangled in sanctions imposed on the country.
Western countries have imposed a host of sanctions on Russia in recent days amidst efforts to quash their invasion of Ukraine.
Mr Balmer says despite the turmoil, supply at the pumps remains unchanged.
He added: “In terms of supply in the UK there is no shortage of fuel at our terminals and refineries, and we do not expect any significant disruption.
“In recent years, Russian crude oil and liquid natural gas has accounted for just 10% of imports to the UK. Norway and the United States combined supply the UK with nearly 25 million tonnes of crude oil and liquid natural gas while Russia has been supplying the UK with under 4 million tonnes.
“However, as Russia is the third largest supplier of crude oil in the world any disruption of supply feeds through into the internationally traded price of oil which is also subject to exchange rate pressure as oil is traded in US dollars.”
