Minor increase in fuel prices expected due to global factors
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As many Ghanaians carry out their daily commute as of February 1, 2024, fuel prices are anticipated to experience a slight uptick, as reported by the Institute for Energy Securities.
Read full articleThe Institute attributes this marginal increase to a rise in the cost of finished petroleum products and the depreciation of the Ghanaian cedi.
According to the forecast, there will be some upcoming adjustments in the prices of petroleum products. The price of gasoline (petrol) will increase by 2%, while the price of diesel will increase by 3%.
Similarly, the price of Liquefied Petroleum Gas (LPG) will also increase by 2%. These changes are mainly due to the combination of the Ghanaian cedi depreciation and the surge in international market prices for petroleum products.
On January 26, 2024, the Global Standard & Poor (S&P) Platts platform recorded a price increase for all refined petroleum products. In the second pricing window of January 2024, trade prices closed at $800.84 per metric tonne for petrol, $807.14 per metric tonne for diesel, and $535.41 per metric tonne for LPG.
A comparative analysis of the refined price data indicates an increase of 2.93%, 4.79%, and 2.44% for petrol, diesel, and LPG, respectively.
In terms of local market performance, the second pricing window showed relative stability in diesel prices. Continuous monitoring by the Institute for Energy Securities revealed that prices remained unchanged for the two main liquid fuels in the first week of the pricing window. During the second week, some Oil Marketing Companies (OMCs) lowered the price of petrol by an average of GH¢0.11 per litre. However, the prices of diesel and LPG remained unchanged, with an average price of GH¢12.74 per litre for diesel and GH¢13 per kilogramme (kg) for LPG.
While the news of a minor fuel price increase may raise concerns, citizens are encouraged to remain optimistic as such fluctuations are often influenced by global factors beyond local control.
