CNMI pump prices range from $6.36 to $9.98 a gallon; residents brace for rising consumer costs
- Admin
- 43 minutes ago
- 3 min read
By Bryan Manabat
Saipan—The CNMI is bracing for prohibitive consumer costs as gas prices continue to surge, driven by global market volatility tied to the escalating conflict in the Middle East and tightening fuel supplies in Asia.
On Saipan, motorists have seen fuel prices jump to $6.36 a gallon for regular gasoline, $6.81 for Supreme and $8.28 for diesel since the conflict intensified. Mobil Oil Marianas raised its prices first, followed by Shell Marianas.
The increases are even sharper on the neighboring islands. Tinian motorists are now paying $8.49 per gallon for gasoline and $9.98 per gallon for diesel, while Rota residents pay $6.99 per gallon for gasoline and $9.42 per gallon for diesel.
The latest Mean of Platts Singapore benchmarks—the pricing index used for refined fuel imports across the Pacific—have climbed sharply in recent weeks. Unleaded gasoline has been trading in the mid‑$90s per barrel, while diesel benchmarks have hovered above $100 per barrel amid refinery disruptions and higher shipping and insurance costs for tankers rerouted around conflict‑affected waters.
For the CNMI, which relies entirely on Singapore‑sourced fuel, rising prices translate directly into higher pump prices and increased operating costs for businesses.
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The upward trend is also reflected in regional fuel futures markets. The SGX Platts Singapore Fuel Oil 380cst Index Futures Contract, a key indicator for bunker fuel and utility‑grade fuel oil pricing in Asia, was recently trading at $482.92.
The elevated futures price signals continued pressure on fuel oil supplies used by power utilities and shipping companies across the region.
For the CNMI, higher futures prices foreshadow increased operating costs that may eventually filter into electricity rates and shipping surcharges once regulatory caps are lifted.
The spike is already affecting small businesses. Bernard Montano, an independent bottled water distributor, said he has been forced to scale back his delivery schedule due to the rising cost of diesel, which powers his delivery truck.
“I called my clients and let them know that delivery schedules now are only Monday to Wednesday because of the recent hike in diesel prices,” Montano said. He expects other water delivery companies to adjust their operations as well—either by reducing delivery days or raising prices.
Residents are also bracing for the ripple effects.
A Saipan resident, who requested not to be named, said the rising cost of fuel will inevitably push up the price of groceries and other essentials, especially in a remote island chain dependent on imported goods.
“Prices for commodities and grocery items for sure will follow,” the resident said. “Is the minimum wage going to be increased, too? Of course not.”
Historically, the CNMI has seen similar ripple effects whenever global fuel prices surge. During past oil shocks—including the 2008 global price spike, the 2011–2012 Middle East tensions, and the 2022 Russia‑Ukraine conflict—gasoline and diesel increases were quickly followed by higher grocery prices, shipping surcharges, and rising costs for basic commodities.
With the islands dependent on imported goods and diesel‑powered utilities, fuel volatility has consistently led to higher living costs for households and increased operating costs for businesses.
Despite rising fuel costs, the Commonwealth Utilities Corp. announced that its fuel adjustment charge will remain at $0.19706 per kilowatt-hour for March.
The utility agency said the rate would have increased to $0.22075 per kWh based on current fuel prices, but the utility is prohibited from adjusting the FAC under the Commonwealth Public Utilities Commission’s FAC Stabilization Order, issued March 6, 2025. The order freezes the FAC at its existing level until CUC completes a full reconciliation of fuel costs and submits it to the CPUC for review.
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