Fuel prices go down marginally

Fuel prices are expected to go down marginally today, Saturday, 1 February 2020 between 2 and 4%, sources at the National Petroleum Authority have told Classfmonline.com

This follows a significant reduction in the price of Brent Crude on the world market.

At the same time, the local currency, cedi, has appreciated marginally against the US dollar this month.

The Institute for Energy Security (IES) has already predicted a 4.66% fall in fuel prices at the pump beginning morrow.

The reason being a reduction in the price of Brent Crude on the wall market as well as unchanged foreign exchange rate (US dollar/cedi)

According to a statement from the IES, “From the 4.66% decline in prices of Brent Crude, coupled with the 8.00% and 5.69% considerable reduction in the prices of Gasoil and Gasoline respectively, on the international market; the Institute for Energy Security (IES) foresees prices of fuel on the local market dropping by roughly 2.5%.’

The expected fall of the price of fuel for consumers, the statement said, is a reflection of market fundamentals as accepted in a deregulated market structure, adding: “The next window may be a good time for consumers who have been battered with rising fuel prices over the past months.”

Meanwhile, Shell sold the most expensive petrol and diesel as found by IES’ market scan in the last pricing review on 16 January 2016 to 31 January, 2016.

Zen Petroleum, Benab Oil, Pacific, SO Energy and Alinco Oil, however, sold the least-priced Gasoline and Gasoil on the local market.

The second pricing-window of January 2020 saw majority of Oil Marketing Companies (OMCs) adjusting prices at the pump to record a national average price of GHS5.48 and GHS5.46 for Gasoil and Gasoline, respectively.

This represented an average of 2.24% and 1.87% increment for Gasoil and Gasoline, respectively