Representatives of the fuel industry have rejected accusations of price gouging in the sector.
Since the outbreak of the conflict in the Middle East last Saturday and the subsequent increase in oil prices on global markets, there have been significant jumps in the cost of home heating oil and motor fuel.
Compared to a national average price of €1.73 per litre of unleaded petrol and €1.72 for diesel last month, prices at many pumps have gone above €1.80 for unleaded and in some cases, have reached around €1.90 for diesel.
The increase is more pronounced for home heating oil.
According to the price comparison website Oilprices.ie, the average cost for 500 litres of kerosene has risen from €495.09 on this day last week to €833.56 today.
That represents an increase of 68% in the average cost for 500 litres of oil in a week.
The average cost of 500 litres of home heating oil has risen by 60% in under a week.
Diesel and petrol pump prices are also up compared with January, by an average of 3c per litre for both.
Meanwhile, representatives of the fuel industry have rejected accusations of price gouging in the sector.
In the wake of the price rises, the Minister for Enterprise asked the Competition and Consumer Protection Commission to urgently investigate reports of price gouging.
Peter Burke also called industry representatives of the industry to a meeting in the Department of Enterprise this morning to explain their price structures and the price increases.
The chief executive of Fuels for Ireland, the representative body for firms involved in the importation, distribution and marketing of oil products, described the meeting as "good" and "constructive".
Kevin McPartlan said they explained to the minister why fuel prices have gone up as a result of what it said was international markets.
"It's not something we have any control over here in Ireland.
"We're keeping an eye on how global markets work, but in reality, in Ireland, we're a price taker, we're subject to international markets, we're too small to really have any significant impact," he said.
He defended the price increases, which he said was due to global wholesale markets.
"Commodity prices are published every day and as of last night, I can say that the global commodity price for kerosene has increased 75% since last Friday.
"So, about 60% of that has washed through to the Irish market at this point in time. So we're actually keeping it below the wholesale price increases.
"For diesel, it was about 48% increase, and for petrol about 15%, so our price increases on the retail market are absolutely in line and actually slightly behind those," he said.
"If prices go up, that doesn't necessarily mean that there is price gouging. The last time we had this conversation was in 2022 in the immediate aftermath of the invasion of Ukraine, the CCPC did its investigation, and it found, then, just as it will find this time, that the wholesale prices were absolutely responsible for the increase in retail prices in Ireland.
"The minister heard today from an independent forecourt operator that actually margins have been slashed and that people are making less profit on this than they did previously."
McPartlan said the only wiggle room to ease fuel price increases is the amount of tax the Government is taking.
He said his fear is that the same will be done as after the outbreak of the war in Ukraine, in that there will be a "knee-jerk reaction" and a "one-off measure" for energy credits.
He said the fuels industry has long argued for a "comprehensive review of the total taxation and compliance cost involving fuels and to look at the levers they [government] have."
McPartlan said this can be done "quickly" and that we should be "strategic about this and we've lacked that up until now."
He said there are reasons why the figures for these different commodities varies, such as the Strait of Hormuz being "far more important in kerosene markets," and "more diesel is imported into Europe..."
He said there is no scarcity of fuel, there is "adequate" fuel, rather "it's the cost base is being driven up."
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Price of crude oil 'just a small part' of overall price
All of Ireland's imported product is "subject to global commodity prices," he said.
"People think that [the price of] Brent crude is the indicator, Brent crude has a lag of a couple of weeks and the impact that it has, and even then it has about as much impact on a litre of fuel as the price of beef has on a Big Mac.
"It's really just a small part of the overall piece."
"The question that we're dealing with is the price piece and that's the thing that's got people really upset," Mr McPartlan said.
He added that he is confident the sector will get "an absolutely clean bill of health" after the CCPC investigation.
"We get that people are hurting. We get that businesses are hurting. The cost of fuel is very high. That doesn't suit us. The fuel industry is not making any more money than it did previously," he said.
Mr McPartlan said he has received reports of staff suffering "abuse and threats" on forecourts and in heating oil depots.
Minister for Enterprise Peter Burke also described the meeting as "constructive".
Mr Burke said he welcomed the "opportunity to discuss the current energy market and pricing structures, along with the international factors impacting costs in a very uncertain geopolitical environment".
"I highlighted the current CCPC investigation, and providers expressed that they are more than happy to cooperate fully and will encourage their members to do the same."
"The CCPC has a strong mandate to protect consumers and ensure competition law is fully complied with," he added.
Mr Burke also said that it was brought to his attention that "retail workers have come under significant abuse in recent days".
"I want to make it clear that this behaviour is unacceptable, and no one should take their frustration out on any retail worker," he said.
Mr Burke said his department will continue to engage with the sector as matters evolve, including through the Government's Energy Security Group.
Kilkenny service station owner fears fuel price will exceed €2 tomorrow
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Owner of Kavanagh Fuel Urlingford in Co Kilkenny Caoimhe Moloney said her "fear" is that tomorrow fuel prices will be "over €2" a litre, "I think possibly €2.02".
"People are scared and they're bulk-buying on the forecourt and that's causing, I think, panic amongst everybody," she added.
Speaking to RTÉ's News at One, Ms Moloney said it is "really busy, nobody's making any money out of it if you own a forecourt".
"Where the money's being made, I don't know.
"And I would welcome the competition authority looking into everything because it's certainly not the people operating the forecourts [who are benefiting]," Ms Moloney added.
Ms Moloney said that the State is "making the most money" from the increase in prices.
"There's nearly 32% in your petrol and 27% in your diesel on excise duty.
"That can be sorted out immediately, the way it was when the Ukraine war was on when excise duty was dropped by 20c and I think it was 13c to assist people," Ms Moloney said.
"That needs to be done," she added.
She described the tax that the Government is receiving on "mineral oil" as "phenomenal" and said that it needs to address the situation "immediately".
Ms Moloney said the public is "not happy", she is not happy, and her staff are not happy about the fuel price increases.
She said that "everybody needs fuel," and that complaining to service station staff about the price increase, "we get it".
Ms Moloney said the price increases are affecting "everybody" and "life in general here in Ireland".
She described the increases as "unsustainable," and said "most definitely fuel prices will increase tonight".
Ms Moloney said "our purchasing has gone up dramatically".
"Between Monday and Tuesday our rate went up by 8c, between Tuesday and Wednesday it went up another 8c.
"Between Wednesday and Thursday it went down 1c, and between yesterday and today it's gone up 8c.
"So that's a 23c increase in the cost of us buying the fuel to put into our tanks since Monday.
"That's a huge, huge increase," she said.
