NPA price floors: Price of petrol down, diesel up

Prices of petrol and liquefied petroleum gas (LPG) could decline at the pumps from tomorrow , while diesel prices may go up following changes to the National Petroleum Authority’s (NPA) price floors for the first half of November.

The NPA, in announcing its pricing window for November 1 to 15, has reduced the petrol price floor from GH¢16.09 to GH¢15.39 per litre, that of LPG price floor has also declined from GH¢13.89 to GH¢13.73 per kilogramme. However, diesel is, moving up, with its price floor rising from GH¢17.09 to GH¢17.41 per litre.

The revised floors do not automatically translate into equivalent changes at the pumps.

Announcing the new price floor, the NPA, explained that it excluded premiums charged by international oil trading companies, operating margins of Bulk Import, Distribution and Export Companies, and margins applied by Oil Marketing Companies and LPG Marketing Companies.

It said these charges were determined independently by the respective companies under the prescribed Petroleum Products Pricing Formula.

Consequently, the final prices at the pumps would depend on how marketers adjust their premiums and margins during the new pricing window.

The potential relief for petrol and LPG consumers comes amid rising international crude oil prices, although the recent appreciation of the cedi could help cushion the impact of external price pressures on domestic fuel costs.

At the previous pricing adjustment on October 16, 2026, petrol and diesel prices recorded marginal reductions at the pumps, while LPG prices were projected to increase by about 18.5 per cent per kilogramme.

The Chamber of Oil Marketing Companies attributed the reductions in petrol and diesel prices to movements in international refined petroleum product prices and government’s subsidy measures.

In its report for the period, the Chamber said average crude oil prices increased by 2.03 per cent to US$126.73 per barrel amid renewed supply concerns.

However, international refined product prices moved in different directions. LPG prices rose by 7.77 per cent, while diesel and petrol prices declined by 6.68% and 3.93%, respectively.

The latest NPA price-floor adjustments, therefore, suggest that domestic fuel prices could continue to respond differently to developments in international markets, exchange-rate movements and the pricing decisions of individual marketers.