Fuel prices will increase by 10% from October 16 – COPEC
The Chamber of Petroleum Consumers (COPEC) has announced that there will be a significant increase in petroleum products in the country from October 16. Fuel prices rise for the second time in March, here’s how much some stations in Ghana are selling for a liter of petrol and diesel.
According to COPEC, the increase will be part of the adjustments for the 2nd price window of this month.
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Based on observed data in the downstream industry and forex movements, COPEC expects an average escalation of both gasoline and diesel prices of 10.12% based on the increase in the price of crude oil in the international market and the depreciation of the cedi.
“Between the current period and the next period due on October 16, 2022, the price of crude oil increased by 3.66% from $89.46 to $92.73 per barrel, while the dollar index further increased by about 4.08% from GHS10. 21 to 10.627 GHS per dollar according to the government exchange rate (conservative figures), although actual market rates are currently quite higher,” COPEC noted.
In its statement, COPEC therefore called on oil service providers to be considerate of applying the full power of the indices in their price formation.
He added: “We are clear, mindful that the projected numbers are conservatively lower than what the actual could be due to the ongoing depreciation of the local currency.
He further urges, “Government to do whatever it deems necessary to ensure the speedy stabilization of the cedi against the dollar exchange rate to prevent the prices of petroleum products from spiraling into an imminent disaster as the effect of this sharp increase in fuel prices will lower. across all sectors of the local economy and further ensure some drastic reductions in some existing taxes and levies on petroleum products to reduce the burden on consumers.”
Matthew Opoku Prempeh, Minister of Energy
The corresponding international refined oil prices for the following window are averaged as follows:
Gasoline: $964.75/MT (up 15.72%)
Diesel: $1,097.15/MT (up 9.60%)
Internally, the forecasted average price of both petrol and diesel for the next window is expected to be GHS 13.77/L, representing a price jump of 10.12% over the current average fuel prices for both products across various OMC stores.
From the observed data, petrol, currently selling at an industry average of GHS 11.06/L, is likely to sell at GHS 12.38/L (11.88% higher) from 16 October 2022, while diesel it currently sells for an industry average of 13 GHS. 0.95/L is likely to sell for GHS 15.16/L. (8.72% higher)
For LPG, the international price is estimated at USD 618.34/MT (up 3.81%); LPG price is likely to increase by 5.04% and sell around GHS 10.21/kg.