Fuel prices to go up by GH¢2 from Wednesday

The Chamber of Petroleum Consumers Ghana (COPEC) has predicted that diesel may cross the GH¢10 per litre mark.
It added that petrol will cross GH¢9 from Wednesday, March 16, 2022.

COPEC attributed its prediction on the rising cost of crude on the international market and the cedi which is currently depreciating among major trading currencies.

In a statement, it noted that the Free On Board prices of petrol increased by 19.28% from $917.48/MT to 1094.33/MT, diesel by 34.57% from $845.50/MT to $1137.78/MT and LPG by 17.42% from $845.93/MT to $993.25/MT between the first pricing window (1st-15th March 2022) and the second window (16th -31st March 2022).

“The petroleum price indicators as published by the NPA shows that the price of Gasoil (diesel) will increase by 30.41% from GH¢8.22 per litre in this current window to Gh¢10.721 per litre beginning 16th March 2022 and ex-pump prices of Gasoline (petrol) will increase by 18.25% from GH¢8.22 per litre to GH¢727 per litre within the same period.”

COPEC has also noted that the cedi has seen a sharp depreciation against the dollar by 9.71% from GHS6.8360 to GHS7.500 to a dollar.

In addition, COPEC has said the ex-pump prices of LPG will also increase by 23% from GHS 9.8 per kg in this current window to GH¢12.04 per kg in the next window beginning March 16, 2022.

“This implies that a 14.5kg will be sold at Ghc174.58,” COPEC added.

Prices of fuel have gone up at the pumps across the country because the Price Stabilization and Energy Recovery levy, which is a key component of the fuel price build-up, has been restored by the National Petroleum Authority (NPA) after it was suspended for about three months.

The levy was suspended last year as a means of reducing the burden on consumers.

Already, COPEC has called for the withdrawal of the levy and has now urged the government to adopt the dual pricing module to stabilise fuel prices and the accompanying economic difficulties.

Read full statement below:
DOWNLOAD FILE: 314202281454-i4ep276gfb-16th-march-ex-pump-prices.pdf
18thMarch, 2022

FUEL PRICES TO INCREASE TO ABOVE GHC10/LITRE INDICATING AN AVERAGE OF 24% BEGINNING 16 TH MARCH, 2022
The Petroleum Price Indicators of 11thMarch averages for calculating ex-pump prices beginning from Wednesday, the 16thof March, 2022 (2ndpricing window of March) shows that FOB prices of petrol has increased by 19.28% from $917.48/MT to 1094.33/MT, diesel by 34.57% from $845.50/MT to $1137.78/MT and LPG by 17.42% from $845.93/MT to $993.25/MT between the first window and second window of March.

Further, the cedi has seen a sharp depreciation against the dollar by 9.71% from Ghc6.8360 to Ghc7.500 to a dollar. However, the National Petroleum Authority (NPA) quoted a Ghana Cedi equivalent of Ghc7.179 to a dollar which is even lower than what the market is trading at.

Refer the table below for price indicators for the second window of March 2022.

FX Rate (Commercial Banks Average)(USD/GHS) 6.8360 7.1790 (7.5000*) 5.02% (9.71%)
Crude Oil (USD/BBL) 99.87 121.08 21.24%
Petrol (USD/MT) 917.48 1094.33 19.28%
Gasoil (USD/MT) 845.50 1137.78 34.57%
LPG (USD/MT) 845.93 993.25 17.42%
Pump price expectations for the 2ndwindow of March, 2022

The petroleum price indicators as published by the NPA shows that the price of Gasoil (diesel) will increase by 30.41% from Ghc8.22 per litre in this current window to Ghc10.721 per litre beginning 16thMarch, 2022 and ex-pump prices of Gasoline (petrol) will increase by 18.25% from Ghc8.22 per litre to Ghc9.727 per litre within the same period.

The ex-pump prices of diesel and petrol could increase by 24.33% averagely from Ghc8.22 per litre in this current window to Ghc10.22 per litre beginning 16thMarch, 2022 for these two products. This means that a gallon of fuel will move from ghc37/gallon to Ghc45.99 beginning Wednesday, 16thMarch, 2022.

Products 1 st Window of March (1 st to 15 th March, 2022) 2 nd Window of March (16 th to 31 th March, 2022) Nominal Percentage change
Diesel Ghc8.22 per litre Ghc10.72 per litre Ghc2.5 per litre 30.41%
Petrol Ghc8.22 per litre Ghc9.72 per litre Ghc1.5 per litre 18.25%
Average Ghc8.22 per litre Ghc10.22 per litre Ghc2.00 24.33%
The ex-pump prices of LPG will also increase by 23% from Ghc9.8 per kg in this current window to Ghc12.04 per kg in the next window beginning 16thMarch, 2022. This implies that a 14.5kg will be sold at Ghc174.58.

Products 1 st Window of March (1 st to 15 th March, 2022) 2 nd Window of March (16 th to 31 th March, 2022) Nominal Percentage change
LPG Ghc9.8 per kg Ghc12.04 per kg Ghc2.24 kg 23.5%
Signed

Duncan Amoah Executive Secretary