BY JOHN HOUANIHAU
South Pacific Oil Limited (SPO) admit that while contingency plans exist for natural disasters such as tsunamis, earthquakes, and fires, the scale of the current crisis has taken everyone by surprise.
Chief Executive Officer (CEO) for South Pacific Oil Limited, Mr Carson Korowa made the statement in an interview with local media at the Public Symposium on “From the Middle East to the Pacific: Understanding the Global Oil Shock and Its Economic Implications” at the Solomon Islands National University (SINU), Kukum Campus last week.
As the global fuel crisis deepens due to the middle east crises, journalists raised questions about whether South Pacific Oil Limited (SPO) is prepared to withstand the disruption.
“While contingency plans exist for natural disasters such as tsunamis, earthquakes, and fires, the scale of the current crisis has taken everyone by surprise.
“This situation caught all of us off guard, especially the magnitude of it. If it were a small surge, we have contingency plans for supplies. But this disruption is very major, and we were not prepared for what has happened now,” he said.
Mr Korowa also said prices in the Solomon Islands are reviewed on a two‑month cycle, a system introduced to smooth out sharp fluctuations for consumers.
“They explained that a monthly review would expose households to volatile swings, while the two‑month formula provides more stability.
“There was a good reason why they made it for two months. But what has now happened is that before paying fuel at a high price, consumers are facing unprecedented challenges,” he said.
With supply chains strained and prices under pressure, he warns that the coming months will test the resilience of both companies and consumers.
For feedback, contact: [email protected]
Editor: [email protected]
