Significant Drop in Fuel Prices Expected from April 1, 2023, says Institute for Energy Security
- Reasons for the Price Drop
- Drop in Prices of Gasoline and Gasoil
- Beneficiaries of the Drop in Prices
- Government’s Gold-for-Oil Policy
Consumers of petroleum products in Ghana are in for a treat as the Institute for Energy Security (IES) predicts a significant drop in fuel prices from April 1, 2023.
The IES reports that fuel prices will decrease by 2 percent to 5 percent for petrol and diesel, respectively. Liquefied Petroleum Gas (LPG) users will also see a drop in prices by about 9 percent, which will come as a relief to many households.
According to the IES, the drop in fuel prices can be attributed to the relative stability of the cedi against the US dollar, and the easing of prices for finished products on the global market.
The Executive Director of IES, Nana Amoasi, explained that the decrease is a reflection of happenings in the world fuel market over the past two weeks, which shows a decline in the prices of gasoline, LPG, and some other finished products.
Over the past 14 days, the price of gasoline on the world market has dropped by $21 per metric tonne, while Gasoil has dropped by roughly 3.6% from its previous price of $813 per metric tonne.
The IES indicates that this drop in pricing will continue in the coming days, providing consumers with some relief from the persistent price hikes in fuel over the past six months.
The IES predicts that households that rely on LPG will benefit the most from the decrease in prices, as the commodity may post a hefty drop in prices in the coming days.
This will come as a relief to many households that rely on LPG for cooking and heating.
Meanwhile, the Ghanaian government has attributed the recent drop in fuel prices to its Gold-for-oil policy, which commenced at the beginning of the year.
The policy aims to use Ghana’s gold reserves to purchase oil, which will help stabilize fuel prices in the country.