Fuel prices still rising

Fuel prices have been increasing over the past year, and it is impossible to say when this trend will reverse, says Finn Jakobsen, CEO of oil firm Magn.

“Europe’s withdrawal from Russian oil involves transporting oil by sea from nations such as Venezuela and Qatar, which is much more expensive and time-consuming than receiving it through Russian pipelines,” he explains.

“Many of the traditional price mechanisms in the oil market have been destabilised due to the war. This has led to a great deal of edginess in the market, and this pushes up the price.”

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About 85 percent of total onshore and offshore energy use in the Faroes is oil-based.

“The high fuel prices impact every level of our society,” he says.

“If the situation does not improve soon, it will be incredibly expensive to keep our society running.”

Read the Faroese version of this article here.

More Faroese News in English.