Oil Marketing Companies (OMCs) in Ghana have made adjustments to the prices of petroleum products at the pumps starting from July 17, 2023. TotalEnergies, GOIL, and Shell are among the companies that have implemented price changes.
Fuel Now Selling at ¢12.45
TotalEnergies is now selling diesel and petrol at ¢12.45 per litre, up from the previous price of ¢12.30. GOIL, the market leader, has set the price of diesel at ¢12.45 per litre, while petrol is priced at ¢12.40, both experiencing an increase from ¢12.30. Shell has also raised the price of diesel to ¢12.45, previously sold at ¢12.30, and petrol is now priced at ¢12.40.
These adjustments result in price increases of 10 to 15 pesewas per litre for certain petroleum products.
The reasons for the price increase vary among the OMCs. TotalEnergies attributes it to the cost price of Bulk Oil Distribution Companies, while GOIL cites the slight depreciation of the Ghana cedi against the dollar.
Initial indications suggested that prices would remain stable at the pumps from July 16, 2023. However, the increase has surpassed industry expectations and projections for the second pricing window of July.
The price hikes at the pumps may have a negative impact on inflation in the coming months.
The National Petroleum Authority disagrees with the OMCs’ assertion that the price increases are due to the depreciation of the cedi. An anonymous senior official at the authority stated that there has been no cedi depreciation based on the reports from banks.
Bulk Oil Distribution Companies have reported that the international market prices of finished petroleum products have changed slightly compared to the previous pricing window. They also note that crude oil prices rose slightly due to supply cuts by major oil-producing countries. The price of LPG has also increased after consistently falling for the past five windows.
Global petroleum product prices were affected by uncertainties surrounding the US debt ceiling bill and the overall economic outlook, as well as rising interest and inflation rates in the US during the second quarter of 2023. These factors contributed to the volatile prices of petroleum products locally.
Source: Joy Business News