Consumers can expect some relief at the pumps from Wednesday, July 1, as the Chamber of Petroleum Consumers (COPEC) projects a decline in the retail prices of petroleum products.
This it attributes to falling global crude oil prices and the continued appreciation of the cedi.
According to COPEC, the expected reduction follows a 19.69% drop in global crude oil prices -from $97.32 per barrel to $78.16 per barrel – alongside a 3.14% appreciation of the cedi against the US dollar during the current pricing window.
For petrol, COPEC said the international Free-on-Board (FOB) price declined by 6.92%, resulting in a projected average retail pump price of GH¢13.36 per litre, representing 6.21% of the current mean price of Ghc14.24/L.
The energy think tank in a statement said it expects petrol to retail between GH¢12.69 and GH¢14.03 per litre, depending on the pricing strategy of individual oil marketing companies in the first pricing window of July.
Diesel is expected to record an even steeper decline after its international FOB price dropped 15.18%. COPEC projects that retail pump price for diesel in the next window shall work up to Ghc14.10/L representing 13.28% of the current mean price of Ghc16.26/L.
COPEC estimates diesel prices will range between GH¢13.39 and GH¢14.80 per litre.
LPG is also expected to become cheaper following a 15.96% decline in international FOB prices. COPEC estimates LPG could sell between GH¢9.54 and GH¢10.55 per kilogram during the pricing window.
COPEC is urging oil marketing companies to pass on the gains from the favourable market conditions to consumers without delay, saying the reductions should provide much-needed relief to households and businesses.
The chamber also commended the government for allocating part of its share of crude oil from the Jubilee Field to support local refineries, arguing that the policy could reduce imports of refined petroleum products, ease pressure on the cedi and improve long-term price stability in the downstream petroleum sector.
The projection comes as the National Petroleum Authority (NPA) has also revised downward the price floors for the first pricing window of July, setting petrol at GH¢12.79 per litre, diesel at GH¢13.54 per litre, and liquefied petroleum gas (LPG) at GH¢10.11 per kilogram.
The price floors represent the minimum prices at which OMCs and LPG Marketing Companies (LPGMCs) are permitted to sell petroleum products during the pricing window.
