petrol prices

Oil prices jumped by more than $3 a barrel overnight due to concerns the conflict would disrupt output from the Middle East.

Infometrics principal economist Brad Olsen said that was not a massive spike, but it would put more pressure on the price of petrol.

"We're not expecting a particularly big shift at the pump, but certainly a lot of underlying pressure that means we are likely to see fuel prices drop back a lot and there's certainly a risk that fuel prices could advance further and remain well above that $3 mark."

Confirmed by the Tonga Competent Authority, the petrol will increase while kerosene and diesel to decrease from mid-March to April,

Tonga Competent Authority said wholesale price for petrol will increase by 4.15 seniti/litre. The retail price for petrol on Tongatapu will increase to $3.52 per litre from the current price of $3.48 per litre.

“Meanwhile, the wholesale price for kerosene and diesel prices will drop by 11.33 seniti/litre and 11.25 seniti/litre respectively.”

The ministry said the cost of crude oil had risen to its highest point this year as markets responded to the United States eliminating all Iranian sanction waivers and geopolitical tensions in Venezuela.

A comparison of Tonga's April prices with March, shows petrol rose by about eight percent and the diesel price was up by about three percent.