Petrol prices near record highs

File photo / Oamaru Mail

Petrol prices have risen sharply overnight, nearing record highs.

A litre of 91 octane now costs $2.16, up five cents from yesterday while a litre of premium sits at $2.22. Prices are three cents shy of 2008's record high prices.

The rise was not unexpected as oil companies had been staggering the price increase, Automobile Association (AA) petrolwatch spokesman Mark Stockdale said today.

Mr Stockdale said the price of oil had gone up because of the instability in Libya and New Zealand's worsening exchange rate.

"By the weekend the AA calculated that oil companies had passed on 8 cents of the 13 cent rise to consumers so another 5 cent rise was expected," he said.

Hopefully that will be the last of it unless the situation in the Middle East worsens. It is difficult to say what is going to happen."

Visiting oil economist Phil Verleger warned yesterday that New Zealanders could face fuel price rises of as much as 50 cents a litre if the current situation in international oil markets was not resolved.

- NZPA