Fuel prices are expected to rise again in the first half of June 2024, according to predictions by the Institute for Energy Security (IES).
This forecast is based on recent developments in the international fuel markets and the deteriorating performance of the Cedi in the domestic forex market.
“Gasoline [petrol], Gasoil [diesel], and Liquefied Petroleum Gas (LPG) all recorded a decrease of about 4.17%, 0.87%, and 3.44%, respectively over the last two weeks. Given the favourable price changes recorded on the international market for these products, prices at the local pumps should ordinarily reflect a reduction to relieve consumers. However, the massive fall (4.17%) of the Ghana cedi against the U.S. dollar may prevent a realisation of the full gains made on the world fuel market on the local fuel market”, it pointed out.
The Institute for Energy Security (IES) has been monitoring the global Standard & Poor’s (S&P) Platts performance of petroleum products in the world fuel market. Their observations indicate that the prices of petrol, diesel, and LPG have all decreased.
Published data for the second pricing window of May 2024 shows that petrol closed at $851.73 per metric tonne, diesel at $749.70 per metric tonne, and LPG at $444.80 per metric tonne. The net changes indicate that the price of petrol fell by 4.17%, diesel by 0.87%, and LPG by 3.44%.
In the second pricing window of May 2024, the depreciation of the local currency prevented the expected price reductions at domestic pumps.
Specifically, it was observed that the prices of diesel and petrol remained relatively stable among most Oil Marketing Companies (OMCs) during this period.
The IES calculated the national average price for the three refined petroleum products for the second pricing window of May 2024. Petrol and diesel were selling at GH₡14.22 and GH₡14.00 per litre, respectively, while LPG was priced at GH₡15.63 per kilogram.