Fuel prices are likely to go up between 7 per cent and 13 per cent for the first pricing window of February 2023, Institute for Energy Security (IES) has predicted.
Currently, a litre of petrol is sold at around GH¢13.60 while diesel is sold at GH¢15.52 per litre, with LPG selling at around GH¢11.29 per kilo.
Per the projection of IES, a litre of petrol is likely to be sold for over GH¢14 while diesel will be sold for around GH¢16 per litre.
In a statement issued by IES and signed by Adam Yakubu, Research Analyst, it said the projected increase in fuel prices is due to the sharp depreciation of the cedi during the last two weeks and the rising international fuel prices as observed on the global S&P Platts platform.
The energy think tank pointed out that the increase in fuel prices would be occasioned despite the government’s receipt of approximately 41,000 metric tonnes of diesel under its ‘Gold for Oil’ programme.
“Based on the rising international fuel prices as observed on the global S&P Platts platform, linked with the local currency’s value decline against the greenback, the Institute for Energy Security (IES) estimates a 7% to 13% jump in the prices of gasoline [petrol], gasoil [diesel], and LPG over the next two weeks ending February 14, 2023.
“The rise in domestic fuel prices would be occasioned despite the government’s receipt of approximately 41,000 metric tonnes of Gasoil under its ‘Gold for Oil’ programme, and that consumers must be prepared to buy, for instance, a litre of gasoline [petrol] for roughly GH¢15 in the coming days,” it stated.
Although IES believed both petrol and diesel would be going up from Wednesday 1st February 2023, Star Oil, one of the Oil Marketing Companies, in a public notice issued on Monday, informed its customers that it expects petrol prices to go up while diesel prices likely to remain stable or unchanged, citing 41,000 metric tons of diesel brought into the country under the Government gold for oil programme.
The international crude oil benchmark, Brent, increased to about $86.14 per barrel on average terms from a previous average rate of $81.72 per barrel.
This represented a 5.41 per cent increase in average price over the last two weeks.
Following an initial steady grind upwards to $88.16 per barrel at the close of January 23, Brent crude oil price settled lower on Friday, January 26, 2023, making the commodity’s weekly finish flat to lower.
Brent closed Friday’s trading at $86.66 after closing the day before at $87.28 per barrel, up from the year’s low of $72.50.