The Institute for Energy Security (IES) has appealed to the Oil Marketing Companies (OMCs) to effect a three percent reduction in fuel prices at the pump in line with the oil market fundamentals.
IES said its demand was based on the substantial drop in the price of Brent crude and the relative stability in the forex exchange.
A recent press statement by IES, signed by Richmond Rockson, Principal Research Analyst, Petroleum Unit, projected fuel prices on the local market to fall by at least 3 percent in the face of the recent upward revision of prices of petroleum products.
It said the first pricing window for this month closed with the market recording an increase in prices of gasoline (petrol) and gasoil (diesel) at the pump by all Oil Marketing Companies (OMCs).
“The increase in prices was as a result of the depreciation of the Ghana Cedi against the Dollar as envisaged by the institute. The national average retail price for gasoline and gasoil jumped 1.18 percent and 2.6 percent to GHs4.28 per litre and GHs4.21 per litre respectively.
The Institute for Energy Security’s Market-scan indicated that Frimps Oil, Radiance Oil, Star Oil, Champion Oil, Puma, and GOIL were few of the OMCs that sold the cheapest gasoline and gasoil on the fuel market.
World Oil Market Prices Indices Benchmark Brent crude price for the period under review dropped by 4.4 percent to average $53.5 per barrel.
This is as a result of a rise in U.S. shale production, which is threatening the output cuts by OPEC and major crude-producing nations.
The Platts benchmark prices within the same period for gasoline dropped by 6.75 percent while gasoil fell by 2.65 percent.
This left gasoline and gasoil prices on the world market closing at $530.63 per metric tonne and $472.48 per metric tonne respectively from an opening of $560.69 per metric tonne for Gasoline and $485.35 per metric tonne for Gasoil.
Local Forex and Fuel Stock Figures from the banking sector indicated that the Ghana Cedi performed relatively well against the U.S. Dollar by closing at GHS 4.52 against the opening rate of GHS 4.55 per Dollar.
“The stock of gasoline and gasoil in the country hasn’t changed much from the first Pricing-window, and capable of meeting just 25 days of fuel demand in the country,” it disclosed.
A business desk report