Prices of petroleum products on the local market will remain largely unchanged for the Second Pricing Window beginning 16 April, 2020, the Institute for Energy Security has forecasted.
“Taking into consideration the relatively modest reduction in prices of petrol and diesel on the international market, as well as the 2.29% marginal reduction in price of International Benchmark – Brent Crude; the Institute for Energy Security (IES) foresees prices of fuel on the local market remaining largely stable.
However, competition between Oil Marketing Companies (OMCs) to control and gain more market shares may result in selling price of fuel falling marginally within the second Pricing-window of April 2020”, IES said in a statement.
It said data collated by its Economic Desk from the Foreign Exchange market shows the cedi depreciated by 0.72% against the U.S. dollar, trading at an average price of GHS5.63 to the U.S. dollar over the period under review; from a previous rate of GHS5.59 recorded in the second Pricing-window of March, 2020.
At the same time, crude oil prices remain largely around the US$30-margin for this window. Prices moved above US$30-margin from April 3rd, as the market reacted positively towards the scheduled OPEC+ meeting and as well as US President Donald Trump’s suggestion that he had brokered a deal to end the oil price war.
Meanwhile during the last pricing window, fuel prices at the pump experienced reduction across some major OMCs including Shell, Goil, Total Ghana, Puma and Zen Petroleum.
While Goil, Zen Petroleum, Puma and Total Ghana shaved-off to sell at an average price of GHS4.19 for petrol and diesel, Shell gave away a whopping 16% for Gasoline and Gasoil to sell at GHS4.29 per litre. Shell Ghana was the OMC with the largest percentage reduction.
However, the second Pricing-window of February 2020 saw some OMCs maintaining their prices at the pump to record a national average price of GHS4.14 for petrol and diesel.
Within the period under review, Zen Petroleum, Benab Oil, Nick Petroleum, Frimps, Champion and Cash Oil, joined Santol as OMCs that sold the least-priced Gasoline and Gasoil on the local market relative to others in the industry as found by IES Market-scan.
Story by Naa Anyema Collison