Fuel prices shoot up significantly by about 10% before next pricing window

Even before the Oil Marketing Companies’ fortnightly review of petroleum products on Sunday, October 30, 2022, fuel prices had dramatically increased by around 10%. (OMCs).

This is happening despite the global market for crude oil remaining constant.

According to research by Joy Business, several industry leaders, including GOIL and TotalEnergies, are selling gasoline for $13.99 per liter while Petrosol and Engen have dramatically raised the cost of both gasoline and diesel.

Petrosol is now selling gasoline at $17.45 per liter, while Engen is charging $17.54.

Additionally, the two OMCs are now charging 19, 89 and 19, 44 pesewas, respectively, for a liter of diesel.

Some industry participants blamed the recent weakening of the cedi versus the US dollar for the price increase.

An industry analyst told Joy Business that because the Bulk Oil Distribution Companies have been selling to them at the going market rate, the OMCs can no longer wait for the biweekly review of petroleum product prices.

The Ghana Private Road Transport Union (GPRTU) has already stated that it plans to raise transportation costs by 19% beginning on Saturday, October 29, 2022.

The cost of petroleum is rising, which will increase inflation. This will eventually have an impact on interest rates and borrowing costs.

The price of fuel increased on October 16, 2022, by 7% to 12%.

After the most recent price review on October 16, 2022, fuel prices increased by 7% to 12%.

The Institute for Energy Security (IES) attributed this to rising product prices on the global market and a sharp decrease in the value of local currencies relative to the US dollar or American greenback.

Source: www.pfrmtaxafrica.com/Amos Ekow Coffie