Fuel prices have shot up after a rise in the cost of crude due to the turmoil in the Arab world and a higher mark-up granted to petrol stations, according to Enemalta.
The price of petrol rose by 4c to €1.38 per litre while that of diesel went up by 3c to €1.31.
Both of these include an 0c8 increase approved by the Malta Resource Authority after months of negotiation with petrol station owners, who were demanding a 3c2 increase to cover rising running costs and the anticipated cost of refurbishing their stations in line with EU standards.
A representative of the petrol station owners, Carlo Cini, said he was disappointed by the final mark-up, which was just a quarter of what owners had requested.
However, he will still be advising owners to settle for this compromise. “Prices are rising every month and consumers can’t be burdened more than they are already. If the situation improves, we might start negotiations again,” Mr Cini said.
The new mark-up will see the profit station owners make rise to 6c5 a litre.
The owners had threatened industrial action over lack of agreement with Enemalta over the issue. They had been expected to turn off automatic pumps at 6 p.m. and possibly escalate their action by laying off attendants and resorting to exclusive use of automatic pumps.
Malta Chamber for Small and Medium Enterprise – GRTU president Paul Abela said the chamber was happy that a compromise had been reached, but that it was now up to petrol station owners, who are meeting on Tuesday, to see whether or not it was enough.
Meanwhile, the price for gasoil for heating went up by 1c to 93c a litre.
Enemalta said the unrest in the Arab world, particularly the Libyan war, significantly impacted the price of crude oil, with the price rising from an average of $104 per barrel in February to an average of $115 in March.
“The conflict in Libya has taken a serious toll on the global fuel economy. Libya is responsible for only five per cent of the world’s oil supply but is heavily involved in the refining industry. According to analysts, as long as the turmoil in the Middle East continues, it is expected that fuel prices will continue to soar,” Enemalta said yesterday.