Popular 95-octane petrol hikes to cross $3 mark, with Shell leading at $3.06 per litre

SINGAPORE - The most popular grade of petrol has breached the $3 mark after a series of rapid rises accelerated by the Ukraine crisis.

Shell raised its posted price of 95-octane fuel by eight cents to $3.06 per litre on Monday (March 7) morning, following at least three rounds of increases totalling 28 cents since three weeks ago.

The others are not far behind, with Caltex at $2.98, Esso and Sinopec at $2.95, and SPC at $2.81.

With Brent crude inching towards US$130 (S$177) a barrel - the highest since before the last global financial meltdown in 2008 - observers reckon 95-octane across other brands will hit $3 before the end of the month, if not sooner.

Currently, 92-octane fuel, which can be used by the majority of cars here, is the only petrol with posted prices of below $3. The lowest is $2.78 at SPC, followed by Esso at $2.91 and Caltex at $2.92.

Shell and Sinopec do not offer 92-octane petrol.

Meanwhile, the prices of the so-called premium grade are well above $3.50, with Shell's $3.77 inching towards $4.

After discounts, the two Chinese companies - SPC and Sinopec - still offer the lowest prices. The 95 grade is $2.31 at Sinopec and $2.39 at SPC, followed by $2.42 at Esso (DBS Esso card) and $2.44 at Caltex (OCBC 365 card).

The highest prices are at Shell, with the 95 grade ranging from $2.63 and $2.75.

SPC offers the cheapest 92-octane petrol, at $2.36 across several cards, followed by Esso (at $2.39 with DBS Esso card) and Caltex (at $2.39 with OCBC 365 card).

Commercial fleet owners and taxi drivers are not spared, with diesel pump prices having risen by more than 30 cents a litre in the last three weeks. The highest posted price is at Shell ($2.67) and the lowest at Esso and Sinopec ($2.55).

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After discounts, the priciest diesel is still at Shell ($2.40 with UOB One card), while SPC offers the lowest at $1.90.

Cabbies filling up at kiosks owned by taxi operators have also seen pump prices climbing exponentially in recent months. At ComfortDelGro, the largest taxi company here, diesel is $1.43 (up from $1.12 in January) while 95-octane petrol is $2.04 - up from $1.74 in January.

Oil prices have been defying gravity despite attempts to stabilise the market.

On March 1, member states of the International Energy Agency - a Paris-based autonomous intergovernmental organisation - agreed to release 60 million barrels of oil from their emergency reserves "to send a unified and strong message to global oil markets that there will be no shortfall in supplies as a result of Russia's invasion of Ukraine".

This translates to two million extra barrels a day for 30 days, or an increase of around 2 per cent.

The IEA said this is the fourth coordinated drawdown since the organisation was formed in 1974. Member states hold emergency stockpiles of 1.5 billion barrels.

This article was first published in The Straits Times. Permission required for reproduction.