What is the truth behind high heating oil prices?

A few months ago, Brent crude oil was trading at some $120 a barrel and, understandably, heating oil was above £900 for 900 litres.

Within the past fortnight it fell, in our area, to £740 as the crude oil price gradually decreased. Likewise there was a fall in the cost of petrol and diesel.

Today, Brent crude is approximately $75.5 per barrel and yet, during the past few days, heating oil price has very quickly jumped to over £800 per 900 litres.

How can this be? Is it because oil companies, knowing that the population are receiving fuel allowances, are jumping on the bandwagon of more demand so escalating the costs, or is there another reason, including demand exceeding supply?

It would be extremely interesting to know the truth behind what appears to be the illogically high heating oil price when compared to the cost of falling crude oil.

Robert McAuley, Larne