Heating oil, diesel prices see another big drop

The regular weekly price review from P.E.I.'s Island Regulatory and Appeals Commission on Friday has seen prices for heating oil drop by double digits for the second time this week.

The price of gas was also down.

• The maximum price for heating oil fell 20 cents to $1.68.
• The minimum price at the pump for diesel dropped 17.2 cents to $2.68.
• The minimum price at the pump for gas dropped 3.4 cents to $1.69.

Prices for diesel and heating oil broke new records last week. Despite a drop of almost 30 cents a litre this week, the price for diesel remains higher than records set in the spring.

November has been the most volatile month for petroleum product prices on P.E.I. since March, with four unscheduled changes. Prices are normally reviewed weekly on Fridays.

On Wednesday Allison MacEwen, IRAC's director of regulatory services, said prices spiked due to an unexpected shutdown of several refineries in Europe. That led to a shortage of kerosene, an important component for both heating oil and diesel.

Three refineries in France, closed by a strike, are now operating again, leading to the drop in prices this week, he said.

Propane prices, which have not seen the volatility of other fuels this year, were up an average of 0.6 cents to $0.922 for bulk delivery. The price is down about 10 per cent since the end of February.