Long queues at petrol pumps jammed rush-hour traffic in Hoima town as taxis and private vehicles stopped to get the last drops of fuel.
Two fuel stations in Hoima town have already reported stock outs, sparking off panic buying among motorists.
By 10:00pm this morning Total and Caltex fuel filling stations had run out of stocks.
Petrol prices at Hoima Service Station, has been increased from 3,300 shillings to 3,600 shillings. Equally affected is the price of paraffin used for lighting in many homes. The price has soared to 2,600 shillings per liter.
At Mini fuel station, a litter of petrol has shot from 3,200 shilings to 3,500 shillings while the cost of paraffin has shot up from 2, 650 shillings per liter to 3, 050 per liter.
Abdulmaliki Mugisa, the manager for Mini Fuel station, says if there is no immediate intervention, prices could soar even much higher by next week.
The effect is already being felt across the business sector.
Jacob Bagonza, a driver who plies the Hoima-Kampala road, says the cost of transport has been increased by 1,000 shillings. Passengers have to pay 11,000 shillings.
Transport fares for Hoima-Kibaale road and Hoima-Kyangwali has increased from 7,000 shillings to 10, 000 shillings.
Some drivers are accusing fuel station managers of hoarding the fuel.
John Bosco Habumugisha, the assistant commissioner in charge of standards in the energy ministry’s petroleum supply department, was quoted by one of the daily’s saying riots in Libya riots are largely affecting the international prices of oil.
Libya supplies 2% of the world oil.
Habumugisha has called for establishment of more infrastructures in terms of import routes and storage facilities to create reserves.
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