Petrol prices fall from August's record high

Petrol prices have fallen by some 7.7 cent a litre after hitting record highs in August, a new survey shows.

Petrol prices have fallen by some 7.7 cent a litre after hitting record highs in August, a new survey shows.

Figuratively and literally, world oil prices have us over a barrel. This should make us more determined to develop alternative fuels
Conor Faughnan, AA

The national monthly survey by the motoring organisation AA found a litre of unleaded petrol now costs an average of 115 cent per litre. Diesel prices also fell less sharply, though, to an average of 112.4 cent per litre.

AA public affairs manager Conor Faughnan said the fall in fuel prices was welcome.

"It's very much in line with expectations. Oil prices spiked up sharply in the summer in response to the Middle East crisis. That in turn came through to Irish retail prices which hit an all-time high last month. Since then we have seen a reduction, but nevertheless fuel remains very expensive," he said.

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Mr Faughnan said there may be further reductions over the next few weeks as fuel prices correct themselves downwards.

"However the underlying trend is for sustained high prices. Certainly there is no likelihood of prices falling back to 2005 levels any time soon."

He also warned motorists to "shop around" for petrol and diesel as prices can vary significantly from one service station to another.

"The crazy rollercoaster of fuel prices this year has highlighted just how dependent on oil we have become and how vulnerable that makes us.

"Figuratively and literally, world oil prices have us over a barrel. This should make us more determined to develop alternative fuels. We need to wean ourselves off oil, and the sooner we start the better," he said.