Petrol And Diesel Prices To Go Up

Petrol And Diesel Prices To Go Up

The Chamber for Petroleum Consumers (COPEC) has made a projection that the prices of petrol and diesel will experience an increase starting from Friday, June 16, 2023.

However, the price of Liquefied Petroleum Gas (LPG) is expected to remain stable during this period. This anticipated price hike comes as a consecutive occurrence since the beginning of June 2023, indicating a potential trend in rising fuel costs.

COPEC attributes this increase primarily to the recent depreciation of the cedi, the local currency, against the US dollar, with a notable decline of 4.16% over the past two weeks.

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While there has been a slight decline in crude oil prices, with a shift from an average of $76.04 per barrel to $75.46 per barrel (-0.76%), the exchange rate between the cedi and the dollar has seen a gentle increase, rising from the previous average of 11.3394 cedis to 11.8111 cedis (4.16%) per US dollar.

These factors, combined with the dynamics of global oil markets and currency fluctuations, have contributed to the expected increase in petrol and diesel prices.

COPEC provides specific figures for the projected prices, stating that petrol is anticipated to sell at an average rate of GH¢12.21 per liter, while diesel is estimated to be priced at GH¢12.27 per liter.

In the case of LPG, the forecast indicates that it will maintain its current price of GH¢10.40 per kilogram. As a result, consumers can expect a cost of approximately GH¢150.85 for a 14.5-kilogram LPG cylinder.

With the rising prices of petroleum products, COPEC emphasizes the importance of government intervention.

The organization urges the authorities to consider reducing taxes on LPG or implementing subsidies to enhance accessibility and encourage wider usage of the commodity.

This move is seen as not only promoting affordability for consumers but also as a means of fostering environmental conservation.

Additionally, COPEC highlights the significant tax burden placed on consumers, as current taxes and levies account for around 25% of the retail prices of petrol and diesel.

To alleviate this burden, COPEC advocates for a reduction or even elimination of certain fuel taxes, aiming to provide relief to consumers in the face of escalating fuel costs.