Heating Oil Prices 

Heating oil prices are influenced by various external factors and tend to fluctuate regularly, sometimes even within the same day. But what exactly drives these price changes?

Weather Conditions 

Weather conditions can significantly influence fuel costs, as severe weather may delay deliveries and require alternative routes if regular roads are blocked. This often results in higher petrol or diesel expenses and longer driver hours. Weather impacts not only how quickly and efficiently we can deliver fuel to you, but also how fuel is transported from main terminals to our depots.

Distribution and Delivery Costs 

When calculating heating oil prices, we also factor in the cost of petrol and diesel needed to fuel our delivery vehicles. By choosing our economy delivery option, you benefit from more competitive rates. Ordering within the 10-working-day economy window allows us to plan efficient routes and group deliveries by area, reducing fuel consumption and driver time. These savings enable us to offer you a lower rate. In addition, fuel duty and VAT also play a role in the final price - more information on this can be found here. 

Supply and Demand 

Oil demand varies throughout the year and is influenced by both seasonal trends and weather conditions. When demand increases, supply comes under pressure, often driving up purchase prices. For example, kerosene prices commonly rise during the cold winter months when heating oil usage is at its peak

Crude Oil Prices and Refining Costs 

Crude oil prices are influenced by all the factors mentioned above. Since heating oil is refined from crude oil, any changes in crude prices or refining costs have a direct impact on the price you pay for your oil.. 

The Organisation of the Petroleum Exporting Countries (OPEC) 

OPEC is an intergovernmental organisation made up of 15 oil-exporting nations. OPEC’s objective is to stabilise global oil prices and maintain a regular supply. The group of nations meet on a regular basis to coordinate policies and any changes made can affect the price of Crude Oil. Foreign Exchange Rates As the UK imports oil, any changes in exchange rates can directly affect the cost. 

Conflicts in Oil Producing Countries 

The cost of exporting oil can rise if there are conflicts in an oil-producing country. This is because there can be the need for additional security measures to safely export the oil, which can also mean it takes longer to export it. We’re dedicated to offering you competitive heating oil prices, so our teams always stay up to date with the market. 

To get a new quote for heating oil and see how much you can save on your next order, click here.