The Chamber of Petroleum Consumers (COPEC) has projected a marginal increase in petroleum prices in the first pricing window of the month of August 2023.
The first pricing window of the month of August 2023 is set to commence by the next 48 hours.
COPEC said Indications are that pump prices of Petrol and Diesel are likely to increase average by about 9% over the current mean price of GHS11.90/L across the country whilst LPG prices increase by about 20%.
The following basic information forms the basis of projections for the coming window, that; prices of finished products on the international market has shot up by averagely around 12% for both petrol and diesel whiles Crude price has been increased by 10.53% from the mean price of $75.85/barrel to $83.84/barrel, even though the forex or Dollar exchance rate has relatively decreased from a previous average of GHS11.7848 to GHS11.6433 (-1.20%) per $1.
The following shall likely be the projected retail figures for Petroleum products starting from Tuesday the 1st of August.
Petrol .. GHS13.27/L
Diesel .. GHS13.93/L
The Mean Price for Petrol and Diesel..GHS13.33/L
LPG.. GHS11.79/kg
Thus for a 14.5 kg LPG cylinder, is expected to be selling at GHS170.91 within the window.
All Pump Prices are expected to be within (±5%) error margin of COPEC’s prediction.
Find below the details of the projections for the window.
Petrol
With the international price increasing from $820.27/MT to $963.75/MT (17.49%), the retail price works up to GHS13.27/L
Thus, Petrol is expected to increase by 9.70% of the current Mean Market price of GHS11.86/L, to close selling between GHS12.61/L and GHS13.94/L within ±5% of COPEC’s prediction.
Diesel
With the International benchmark prices increasing from $728.11/MT to $862.25/MT (18.42%), the expected mean retail price for the next window shall be GHS13.39/L
Thus, Diesel is expected to decrease by about 10.14% of the current Mean Market price of GHS11.94/L to be selling between GHS12.72/L and GHS14.06/L within ±5% of COPEC’s projection.
Mean Price of Petrol and Diesel
The Mean price of Petrol and Diesel for the coming window per the numbers shall be 13.33/L with mean pump price range of GHS12.67/L and GHS14.00/L, within ±5% of COPEC’s prediction.
LPG
With the international benchmark price increasing from $319.09/MT to $494.75/MT (55.05%) the projected retail price of LPG is expected to be selling averagely at GHS11.79/kg.
Thus, within ±5% error, LPG is expected to be sold between GHS11.20/kg and GHS12.38/kg
Remarks:
1. Government is encouraged to do all it can to reduce taxes on LPG or to subsidise the price of LPG to promote or encourage its nationwide accessibility and usage which will eventually help save the environment.
2. In addition, currently, the the total taxes and levies is about 25% of the retail prices of Petrol and Diesel.
COPEC is by this advocating for reduction or to take off some of the fuel taxes to lessen the burden on consumers.
Signed.
Duncan Amoah.
Executive Secretary.