Pedro Matutes, spokesperson for Ibiza’s petrol stations: “The war in the Middle East is pushing up fuel prices, with rises already around 8%”

The escalation of conflict between the United States, Israel and Iran is now being felt at petrol stations across Ibiza. The closure of the Strait of Hormuz — through which around 20% of the world’s oil supply passes — has unsettled international markets and is causing a sharp and immediate surge in crude prices that is beginning to reach consumers.

“There has already been an increase since Monday. All the fuel purchases made to supply stations this Tuesday have come with a significant rise in price”, Pedro Matutes Mestre, Ibiza spokesperson for the Balearic Association of Service Stations, told Diario de Ibiza.

Brent crude up by more than 8%

The consequences of the conflict have been swift. On Monday, Brent crude — the European benchmark — climbed above 79 dollars a barrel after rising by more than 9%, while West Texas Intermediate (WTI) stood at around 72 dollars, up by more than 8%.

“In terms of prices, we are seeing increases of around 8% that are already being applied”, confirms Matutes. He recalls that throughout February, crude oil had remained stable “at around 60 dollars, with only slight fluctuations”. The jump has come now, “mainly triggered by the bottleneck at the Strait of Hormuz. With tankers carrying crude blocked, market tension has risen and that is quickly reflected in prices”.

Rises already visible at petrol stations

On the island, some service stations have already updated the prices displayed on their forecourt signs to reflect the new international rates. Others, however, are attempting to cushion the impact. “We are trying to sell off existing stock that we purchased at earlier prices at normal rates”, explains the spokesperson for the islands’ petrol stations. However, he acknowledges that this margin is limited: “That will not last long. New deliveries are already more expensive”.

Despite the increase, there has been no panic buying or unusual queues at petrol stations. “We are not noticing people rushing to fill up more than usual. The situation is normal and stable, although customers do feel uncertain”, he says.

Will the island run out of fuel?

Matutes rules out any supply problems on the island. “There are no issues with supply — only higher prices. There is sufficient stock and reserves are well under control”. He also stresses that, despite being an island, Ibiza is no more vulnerable than other territories to this type of international tension.

The key factor, he insists, is the duration of the conflict: “Everything depends on how long the military intervention in Iran lasts. The longer the tension continues, the longer prices will remain high. The outlook is for several weeks of significant price increases”.

Impact on inflation and the sector

The spokesperson for the petrol station association warns that rising crude prices will have a broader impact beyond fuel. “This affects inflation overall — gas, electricity and, in the medium term, many other sectors”.

Paradoxically, service stations themselves do not benefit from higher prices. “We do not live off the price; we live off demand. When prices go up, sales fall, and that affects our bottom line. For the sector, the lower the price, the better”, Matutes adds.

For that reason, he hopes for a swift de-escalation of the conflict. “We hope the situation stabilises and that the conflict ends as soon as possible, because ultimately it is consumers who are most affected”.

For its part, Spain’s Organisation of Consumers and Users (OCU) points out that the full impact of the recent rise in oil prices may still take several days to be fully reflected at the pumps. According to the organisation, “the latest increases in petrol and diesel are linked to earlier rises in Brent crude and not directly to the current conflict in the Middle East, whose effects could take up to two weeks to filter through”.

The OCU estimates “possible increases of between 8 and 10 cents per litre” and reminds drivers that “motorists can save up to 19% by comparing prices and choosing the cheapest stations using its fuel price comparison tool”.

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