Fuel prices to increase by 1.5% – IES

Consumers should expect to pay more for fuel at the various stations within the second pricing window of July 2020, the Institute for Energy Security (IES) has said.

In a statement signed by its Research Analyst, Raymond Nuworkpor, the Institute said, “Prices of fuel on the domestic market will be going up marginally even though the Cedi appreciated against the US dollar by 0.17%”.

The expected increase according to the Institute is as a result of a 3.68% surge in the price of Brent crude oil, in addition to the 5.59% and 5.31% rise in the prices of Gasoline and Gasoil respectively on the international market.

“However, competition between Oil Marketing Companies (OMCs) to control and gain more market share and mounting pressure on the government to reduce prices of fuel may result in fuel prices remaining largely stable within the second Pricing-window of July 2020” the statement added.

The second oil pricing window for the month begins July 16.

IES indicated that OMCs adjusted prices at the pump to record a percentage average increase of 3.66%, thus putting the national average price of both Gasoline and Gasoil at GHc4.79 per litre in the first pricing window.

Prices of market leaders – Goil, Shell (Vivo), and Total rallied from Gh¢4.65 to close the window at Gh¢4.82.

Over the period under review, Zen Petroleum, Benab Oil, Nick Petroleum, Radiance, Champion, Cash Oil and Santol maintained their status as OMCs that sold the least-priced Gasoline and Gasoil on the local market relative to others in the industry, as monitored by the by IES Market-scan.