The Island Regulatory and Appeals Commission announced today that wholesalers have been authorized to reduce gasoline prices in their dealer and consumer schedules by 10 cents per litre, effective 12:01 Thursday, October 13, 2005.
Pump prices for regular unleaded gasoline at self-serve outlets will range from 109.5 cents per litre to 111.1 cents per litre.
In announcing the price reduction, the Commission Chair, Moe Rodgerson, indicated that the gasoline market is stabilizing as it recovers from the impacts of the hurricanes in the Gulf of Mexico and the seasonal decrease in demand is lessening the strain on the market.
Heating fuel prices remain high and prices are not expected to decrease in the coming weeks as the seasonal demand for the product will combine with reduced refinery capacity in the United States to cause upward pressure on prices. In fact, wholesale heating fuel prices are already rising in some markets.
Although prices will remain higher than last year, the Commission Chair is expecting the price volatility to lessen. “Through the month of September and early October, as we dealt with an extremely volatile market, the Commission has been reviewing prices on a daily basis and making changes as necessary. We now hope to return to the more traditional pricing adjustment process. Barring any major change in petroleum markets, I do not expect the Commission to be making any further price adjustments prior to November 1st.”
“We recognize the anxiety caused by the major price spikes this year, and we appreciate the challenges it has created for consumers and the industry. The Commission continues to focus on its responsibility to determine just and reasonable prices for both consumers and licensees.”