COPEC, the Chamber of Petroleum Buyers, has forecast that Ghana’s fuel prices will begin to dip slightly for the remainder of the year.
The Chamber claims that customers should hope to buy petrol at discounted rates depending on events in the foreign oil market.
In an interview with Citi Business News, COPEC Executive Secretary Duncan Amoah said certain declines could be planned by the end of 2020.
There is a very complex situation in the Middle East, as we speak. You have a situation where, even for their oil, Saudi is now dropping its export value. On finished goods, it has an impact. We would be glad to have steadily dropping rates so that Ghanaians can at least accommodate their fuel spending. Nonetheless, nothing else may happen as well, so it is our hope that prices will decline between now and December. But if nothing happens to modify the dynamic geopolitically, we are very likely to see prices dropping.
With rates falling sharply, the coronavirus pandemic adversely affected the oil markets. The worldwide epidemic has led to a sharp decrease in demand for gasoline worldwide , causing retailers to cut their costs over fears of running out of stock.
In the UK , for instance, on another day of losses, the crude index slumped 10 percent to about $16 (£13) a barrel.
It came after the West Texas Intermediate (WTI) price, the standard for US crude, also dropped below zero in April for the first time ever.
In Ghana, prices at some fuel stations have fallen from almost GHS5 per litre of diesel to GHS3.5 per litre.
But when many countries around the world started to relax certain constraints caused by COVID-19, demand for gasoline began to pick up, and fuel prices were simultaneously doing the same thing.
Currently, petrol sells for about GHS 4.89 per litre, while diesel sells for around GHS 4.91 per litre.
For the second pricing window of September, COPEC had previously predicted a reduction in fuel prices.
Some industry leaders, including Goil Energy, subsequently lowered their price for both diesel and petrol to GHS 4.77.
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