Efforts to alleviate rising fuel costs in Guam as gas prices spike again

The cost of the Iran conflict continues to make its mark as global oil prices spike to an all time high since the wake of the Russia-Ukraine war in 2022.  KUAM News has more on how elected officials and even one candidate are making their moves to provide relief and clarity to working families here at home.

Overnight, the price at the pump surged again and by Tuesday, gas stations across the island reflected a spike in global oil prices, which rose to historic levels not seen since the wake of Russia’s attacks four years ago.  Regular gas is up $0.35, premium by $0.34, and diesel jumped $0.80 from Monday. 

Drivers are now paying $0.80 to $2 more for gas since the Iran conflict started last month.  As oil prices rise, so is the concern to how the cost will be felt in consumer’s pockets, not just at the pump but in power bills. 

"If this becomes a long-term event in the Middle East, I do not see energy prices going down at all," noted Senator Wil Parkinson. It’s still unclear how the volatile oil market will impact power bills, but he says the GUam Legislature should be ready to step in and help working families. 

He drafted legislation to renew the monthly $100 energy credits for six months, calling it the quickest way to provide direct relief to residents should bills spike like they did in 2022. 

"That money we give directly to people in the form of energy credits, that gets spent immediately in the community in grocery purchases, fuel purchases, in child care, diapers, formula," said the senator. Parkinson says the credits would cost $34 million using unobligated excess revenues — funds he says is available.  

"We do have the funds available to do so. It’s just, is there a political will to use those funds for an energy credit?" he said.

In the meantime, other moves are being made to alleviate the rising cost of fuel. Senator Jesse Lujan requested President Donald Trump for an immediate Jones Act waiver for fuel shipments bound for Guam.

In his letter to the president, Lujan says “Guam is the American homeland. We are a frontline fortress in the Indo-Pacific, and any disruption in fuel security here carries direct consequences for national defense. If Guam is expected to serve as the tip of the spear for American power in the Pacific, then federal policy must reflect that reality.”

On the other hand, congressional candidate Mary Torres is calling for the Federal Trade Commission to review gasoline pricing on Guam for transparency. 

In a letter to FTC chairman Andrew Ferguson, Torres says, “Working families deserve unbiased information so they know they are not being taken advantage of. At the same time, fuel suppliers deserve fairness so they are not wrongly blamed for price increases that may simply reflect global market conditions.”

For the time being, until that relief is delivered, the community no doubt closely monitoring how they will be feeling the cost of conflict.