The rise and fall of heating oil and fuel prices
It’s often said the energy prices rise like a rocket and fall like a feather and unscrupulous suppliers are always accused of taking advantage of consumers by not passing on reductions in the price of gas and oil.
It is a practice that we at Rix Petroleum try hard to avoid, because we believe keeping customers happy is the key to business success – and as we’re part of a family business that been trading for more than 140 years we feel we must be doing something right.
Being an independent, family owned fuel supplier brings a lot of advantages. We’re not beholden of shareholders wanting a quick return. And although we are a sizeable business we are flexible enough to react to our customer requirements through our network of local depots throughout much of the UK.
This means that with the recent falls in the price of crude oil, we have been able to pass on savings to our customers that amount to hundreds of pounds a year, up to £600 in some cases. Click here to watch Paul, from our Midlands depot being interviewed by the BBC in January this year about the fall in heating oil prices.
Crude oil prices sat at around $54 per barrel in the first quarter of this year, and even dipped below $50 a barrel at one point – around half of what they were in the same period the year before.
The price of heating oil and other fuels is affected by many things – supply and demand is of course key, but by no means the only factor. The weather is an influencer with spikes appearing in the northern hemisphere in the winter and during the summer in those countries that use air conditioning. Geographical upsets such as natural disasters which prevent tankers from being loaded or sailing can also affect supply and therefore the price.
Speculation of course plays a part and people seek to predict how the price will hold up, or not, and bet accordingly.
We cannot control the price of oil – no one can. But what we can do is ensure the price our customers pay for their fuel is a real reflection of the market price. And when they drop for us we ensure they drop for you. That is our commitment to you and we hope you find that a warming thought, after all there’s a lot you could do with an extra £600 in your pocket!