“I Don’t Know the Percentage, But The Price Of Gas Will Go Up”

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NASSAU , BAHAMAS – The US-Iran war is having consequences that extend far beyond the Middle East. The region plays a key role in not only global energy supplies, but also shipping routes.

Across the globe, there are concerns that the price of everything from feeding ourselves to putting gas in our cars will go up.

Our Joshua Williams caught up with the vice president of the Bahamas Petroleum Retailers Association this afternoon to find out how prices at the pump could be impacted.

The cost of oil per barrel spiked on Monday, with major producers in the Middle East region reducing output because of export constraints brought on by the conflict.

Iran, Israel, and the US have reportedly struck oil and gas facilities since the war started over a week ago.

With global concerns over further disruption to supply, Bahamas Petroleum Retailers Association Vice President Vasco Bastian tells me they could see some impact.

Vasco Bastian – Vice President, Bahamas Petroleum Retailers Association

“The war that’s going on in between the United States, Iran and Israel there’s a disruption in the supply chain so the disruption in the supply chain will cost an increase in the price of crude because then you got one of the major suppliers of oil in the world. Their production has been ceased.”

According to the Tribune’s Tuesday gas tracker, Esso stands at $5.30 per gallon, Rubis at $5.31 per gallon, and Shell at $5.34 per gallon.

But it’s not just about gas for your cars.

He says a disruption can affect other industries.

Vasco Bastian – Vice President, Bahamas Petroleum Retailers Association

“People sometimes travel less because the cost of airline tickets will go up. People tend to put a pause on buying a new boat or buying a new vehicle. There’s a whole multiplier effect that the price of oil has on the overall economy.”

From the beginning of the conflict, local leaders said there’s nothing to worry about.

Prime Minister Philip Davis said any spike in global oil prices directly affects us, but noted safeguards are in place to cushion consumers during periods of volatility.

Economic Affairs Minister Michael Halkitis also said the government is taking a wait-and-see approach before considering any revisions to its fiscal plans.

Fallout or not, it’s taxpayers who could feel the potential impact.

Melinda – Resident

“I saw it this morning when I was watching the US news and I thought about it and I said wow it’s going to hit us because we’re already at five something and so it’s gonna hit us but then I don’t move a lot.”

Vasco Bastian – Vice President, Bahamas Petroleum Retailers Association]

“That doesn’t benefit gas operators in this country. That means that it causes us more to buy gas because we operate within fixed margin parameters.”