The Institute for Energy Security (IES), has revealed that fuel prices are set to surge continously upward trajectory in Ghana.
“The second pricing-window of February saw significant surges in the prices of petroleum products across the country, aligning with projections made earlier”.
According to data gathered by the IES, the average price per litre for Gasoil increased by GHC0.45, while Gasoline saw a hike of GHC0.30 per litre. Liquefied Petroleum Gas (LPG) prices also surged by GHC0.65 per kilogram. The IES Marketscan identified several Oil Marketing Companies (OMCs), including So, Virgo, Benab Oil, Zen Petroleum, and Star, as selling their products at higher prices over the past two weeks.
“Despite a recent decrease in crude oil prices, the global fuel market remains volatile. The U.S. Energy Information Administration reported a notable increase in oil inventories, which tempered the downward trend in prices”.
However, this has not been sufficient to offset the overall rising trend. Brent crude prices have remained relatively stable, with minimal gains observed over the past two weeks. On the world stage, refined petroleum products have experienced price increments, with Gasoil, Gasoline, and LPG seeing increases of 1.56%, 3.24%, and 2.92% respectively per metric tonne.
The depreciating value of the Ghana Cedi against the U.S. Dollar further exacerbates the situation. The local currency has continued to weaken, decreasing by about 1.44% against the dollar. As of the close of trade on 26th February 2024, the exchange rate stood at GHC12.60 to a dollar. With these factors at play, the IES anticipates further marginal increases in fuel prices in the early days of March.
“Unless there are significant interventions, consumers should brace themselves for continued hikes in the prices of Gasoil, Gasoline, and LPG in the coming days. The combination of global market trends and currency depreciation paints a challenging picture for consumers and underscores the need for proactive measures to mitigate the impact on the economy”.
Read the statement below
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