MONTEGO BAY, St James — The anticipated rush by motorists to gas stations to fill their tanks ahead of this week’s fuel price adjustments failed to materialise in Montego Bay and Falmouth on Wednesday. Despite expectations of increased activity, service stations reported no significant spike in demand.

The expectations arose from last week’s announcement by Energy Minister Daryl Vaz of a new pricing mechanism for State-owned refinery Petrojam Limited as a result of ongoing geopolitical tensions in the Middle East. Vaz signalled that Jamaicans would likely have to pay more for petroleum products as early as this week, as the entity that has been absorbing billions instead of passing on the full costs to consumers can no longer shield buyers.

The minister explained that this shift for consumers when translated “means that the $4.50 cap cannot be sustained, and it means we will have to have several different tiers of caps, probably three, that will speak to what happens in the market”.

But not even Government workers, some of whom revealed that their monthly salaries were in their accounts on Wednesday, showed any sign of filling up ahead of the anticipated announcement of a steep spike in prices by Petrojam.

“I did not even think of filling up,” one educator, who asked not to be named, told the Jamaica Observer.

Another government worker was equally nonchalant.

“I see that my pay is at the bank. Maybe they paid one day earlier so that we can top up. But I didn’t even bother to full up. Maybe before they change the prices tomorrow I will full up,” she said.

On Wednesday, ex-refinery prices rose by $4.50 for both E87 and E90 gasoline. Meanwhile, Automotive Diesel Oil (ADO) and Ultra-Low Sulphur Diesel (ULSD) recorded slight declines of $0.25 each.

President of the Trelawny based Coastal Transportation Association Hopeton Gordon revealed that since Vaz made the announcement he has not been getting any reactions from cabbies who are members of his association.

But Dave Vassel, who operates a minibus service between Montego Bay, St James and Falmouth in Trelawny, is apprehensive that with the steep increase in prices already being experienced by motorists with the cap in place, the removal will not only have a disastrous effect to the pockets of transportation operators and other motorists, but will have a ripple effect on the economy.

“It rough because the cap that they plan to take off the gas, the $4.50, people a go bawl. I don’t think they should remove that cap because it is going to cause the whole nation to be in problem. The travelling industry and other industries will be adversely affected. If it come off you won’t be able to buy grocery,” Vassel said.

“They put on [only] $4.50 this week because they holding it down through the cap. And the way how it still going up with the cap, just imagine what is going to happen without the cap. It a guh wicked, believe what me a tell you. Cushion it!” he implored the Government.

Sylvan Ladrick, a taxi operator who plies the Falmouth to Wakefield route in Trelawny, is also bemoaning the already-sharp increases.

“We were expecting a steeper increase but it still rough. We don’t know how we going make it. Ten thousand dollars used to full mi tank or almost full it up. But now since the price going up the same money give me just over half-tank. Jah know! We spending more money and get less gas,” he expressed.

Ex-refinery prices as of April 9 saw E10-87 gasoline being sold at $176.88; E10-90 gasoline for $184.32; automotive diesel at $189.25; and ultra-low sulphur diesel at $196.09. According to the energy minister, without that cap, gasoline prices would have risen by about $26.77 per litre while diesel prices would increase much more, between $65 and $75 per litre.

Prior to the recent geopolitical tensions in the Middle East, global oil prices were relatively stable at, on average, $70 per litre with moderate fluctuations. The escalation in tensions has disrupted the stability, leading to sustained upward pressure on both crude oil and refined petroleum product prices.