The Institute for Energy Security (IES) has projected that fuel prices could remain fairly stable in the first pricing window (two weeks) of this month despite the rise in crude oil prices by 6.8 percent a fortnight ago.
According to a statement issued by Richmond Rockson, the projected price stability, expected to offer respite to petroleum consumers, was guaranteed by the ability of the local currency to stabilize against the US dollar, the six percent drop in the price of petrol and the rise in diesel price on the global market.
It said the price of petrol escalated to its highest on the local fuel market at GH¢19.85 per gallon, as Oil Marketing Companies (OMCs) increased prices due to the weakness in the local currency against the dollar supported by the rise in fuel prices on the international market.
Also, it revealed that petrol and diesel prices rose in recent times, recording 6.57 percent and 3.45 percent respectively.
Currently, OMCs, whose petrol and diesel are selling cheapest on the local market, include Frimps oil, Compass Oleum, Zen Petroleum, Lucky Oil and Puma Energy.
Local records
It revealed that figures put together by its Economic Desk from the banking industry suggested that the cedi was stable for the period under review, maintaining the previous exchange rate of GH¢4.48 to a dollar.
From September 12 to 27, 2017, the quantity of petrol and diesel imported into the country was approximately 78,500 metric tonnes and 57,000 metric tonnes respectively to augment the country’s fuel stock.
Such imported quantity was capable of meeting 13 days of national demand.
Global prices
IES said the benchmark crude surged 6.8 percent to settle at $56.92 per barrel, best average closing price for oil producers in recent years which shows that OPEC has now achieved its goal of flipping Brent crude’s market structure into ‘backwardation’.
The rise in the price of up to $59.02 per barrel was fueled by improving demand and expectation that producers will extend a deal to limit output.
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