Fuel prices at some fuel stations continue have gone all-time high, crossing the 8 cedis per litre mark. Diesel and petrol are sold at over GHS 8.00 at the pumps.
The new price was announced on March 2, 2022, raising serious concerns over the cost of living in the West African country.
Total increased its Diesel and petrol price to GHS 8.290 by Tuesday evening but Shell and Goil were charging around GHS 7.90.
Only two weeks ago, fuel prices averaged GHS6.4 per litre as the Price Stabilisation and Recovery Levy (PSRL) was reinstated by the National Petroleum Authority.
Experts have blamed the development on the free fall of the Ghana cedi, as some cut the Ukraine-Russia crisis.
Russia is among the few countries that are exporters of the world’s largest energy hence its raid on Ukraine–where most of the pipelines that transport crude to the other parts of the world– has affected fuel pricing on the international market.
This is expected to have a ripple effect on other Oil Marketing Companies, which will also adjust their prices upwards.
The Executive Secretary of the Chamber of Petroleum Consumers Ghana (COPEC), Duncan Amoah, said he had expected the increase to be much higher.
“What Total is currently quoting, GHS8.29 is on the downside. The market figures could have been somewhere around GHS8.70 at this time,” he said on Eyewitness News.
He suggested further that the Oil Marketing Companies may be taking a hit on the recent increase in fuel prices due to the depreciation of the Cedi.
“It is quite certain the Oil marketing Companies and the BDCs are themselves taking a shave in the sense that the Cedi is doing so badly at this point,” Mr. Amoah noted.
COPEC had previously warned that if nothing is done by authorities in Ghana, regarding the rising fuel prices on the global market as Russia invades Ukraine, fuel prices could cross the GHS 8 mark at the pumps.
The Institute for Energy Security (IES) has also predicted a four per cent increase in the prices of Liquefied Petroleum Gas (LPG), Diesel, and Petrol at the pumps in the first pricing window of March.
A barrel of Brent Crude Oil which was going for about $66 a year ago, and $78 at the start of 2022, jumped 7.3% to $103.9 a barrel in February.
Source: myxzonline com|Ghana