Leading Oil Marketing Companies (OMCs), GOIL and TotalEnergies, are now selling petrol at ¢10.95 per liter, lower than the ¢11.45 per liter sold at the beginning of September 2022.
This is about 4% lower than the previous price.
However, the two OMCs maintained the price of diesel at ¢14.50.
The reduction in the price of petrol was as a result of the fall in the price of Brent crude during the review period in which the commodity sold a little above ¢90 per barrel.
But for the depreciation of the cedi during the period, the price reduction of the petroleum products would have been more.
Joy Business understands that some OMCs have begun slashing their prices to conform to industry trend.
The Institute for Energy Security (IES) had earlier said that the depreciation of the cedi may thwart the expected fall in prices of petrol and Liquefied Petroleum Gas (LPG).
According to the institute, even though the prices of petrol and LPG also dipped on the international market, the 3.58% depreciation of the cedi may thwart any expected fall in the price of the two product at the local pumps.
It said consumers may rather be forced to buy petrol and LPG at a higher value over the current prices for the rest of September 2022, on account of the cedi fall against the greenback.
Brent crude plummeted during last pricing window
In the last pricing window, Brent crude prices decreased due to economic data from the United States and China.
Brent crude oil prices plummeted below $90 per barrel, falling below the prices that prevailed prior to Russia’s invasion of Ukraine, as poor economic data from China fueled fears of weak commodity demand. Chinese economic data revealed that retail sales climbed 2.7% year-over-year in July, while industrial production increased 3.7%. The economists forecasted gains of 5% and 4.6%, respectively.
Source: Joy Business