Fuel prices to drop – COPEC

In a press release signed by the Executive Secretary of COPEC, Duncan Amoah, and sighted by GhanaWeb Business, petrol is expected to drop by 4.94 percent to sell at GH¢11.67 per litre.

Conversely, diesel will sell at 11.51 per litre after witnessing a 6.53 percent decrease.

Duncan Amoah attributed the reduction in fuel prices to the drop in prices of crude on the international market.

“Crude price has seen a decline from the main price of $85.29/barrel to $76.64/barrel (-10.14%),” he said.

LPG is expected to be sold between GH¢10.10/kg and GH¢11.16/kg

He however called on government to either reduce the taxes on LPG or subsidize the prices to promote its usage by many.

Below is COPEC’s full statement:

CHAMBER OF PETROLEUM CONSUMERS

14 May 2023

REVIEW OF FUEL PRICES FOR THE SECOND WINDOW OF MAY 2023.

The second pricing window of the month of May 2023 is set to commence in a few hours from now, indications are that pump prices are likely to decline for fuel products across the country.

The following basic information forms the basis of projections for the coming window, that; Crude price has seen a decline from the main price of $85.29/barrel to $76.64/barrel (-10.14%) whiles the forex or Dollar exchange rate has slightly decreased from a previous average of GHS12.0060 to GHS11.9963 (0.08%) per $1, the following shall be the predicted retail figures for Petroleum products.

Petrol .. GHS11.67/L

Diesel .. GHS11.51/L

Current Price for Petrol and Diesel*..GHS11.59/L

LPG.. GHS10.63/kg

Thus for a 14.5 kg LPG cylinder, is expected to be selling at GHS154.10 for the window.

All Predictions are within (±5%) error margin.

Below are the details of the projections for the window.

Petrol

With the international price declining from $868.14/MT to $795.31/MT (-8.39%), the retail price works up to GHS11.67/L

Thus, Petrol is expected to decline by 4.94%* of the current Mean Market price of GHS12.28/L, to close selling between GHS11.09/L and GHS12.26/L within ±5% of this prediction.

Diesel

With the International benchmark prices declining from $747.93/MT to $673.25/MT (-9.98%), the expected mean retail price for the next window shall be GHS11.51/L

Thus, Diesel is expected to also decline by some 6.53%* of the current Mean Market price of GHS12.31/L to be selling between GHS10.93/L and GHS12.08/L within ±5% of projection.

The Mean price of Petrol and Diesel for the coming window per the numbers shall be 11.59/L ± 5%

LPG

With the international benchmark prices declining from $522.77/MT to $452.75/MT (-13.39%) the projected retail price of LPG is expected to see a reduction by about 1.02% from the current average of 11.64/kg to GHS10.63/kg.

Thus, within ±5% error, LPG is expected to be sold between GHS10.10/kg and GHS11.16/kg

Government is however encouraged to do all it can to reduce taxes on LPG or to subsidise the price of LPG to promote or encourage its nationwide accessibility and usage which will eventually help save the environment.

Signed.

Duncan Amoah.

Executive Secretary.