Some Oil Marketing Companies (OMCs) have started reducing prices of petroleum products at the pumps from today, September 16, 2024.
Star Oil Ghana is selling a litre of petrol at GH₵12.55, indicating a one cedi drop. This represents a 7.9 percent decline. The company is also selling a litre of diesel at GH₵13.27. This represents a 4.18 percent drop, indicating a 58 pesewas reduction from the previous price.
Star Oil is also selling petrol at GH₵12.31 and diesel for GH₵12.99 at some specific stations as part of a strategy to attract more customers. This is in line with the National Petroleum Authority pricing guidelines.
Price quotes by GOIL
Market leader, GOIL has also announced a reduction in prices of petroleum products at the pumps selling a litre of petrol at GH₵14. 49. GOIL was initially selling a litre of petrol for GH₵14.70.
The company is selling diesel for GH₵14.49 per litre, from the initial GH₵14.70 a litre it sold from September 2, 2024.
This might be the biggest drop in the price of petrol in recent times.
Reasons
Some Industry watchers have linked the reduction in prices of petroleum products to the decline in price of crude oil on the international market over the past two weeks. Crude oil price has dropped from about US$81 earlier this month to hit US$71 a barrel on September 16, 2024.
In addition, the cedis marginal stability has been a major contributing factor as data shows it has been fairly stable against the dollar over the past two weeks.
Commercial banks are selling a dollar for around GH₵15.80 whiles the Forex Bureaus are selling a dollar at GH₵16.50.
Data Bank in its market update to investors on September 13, 2024 revealed that the cedi has appreciated by some GH₵0.49 against the US dollar.
The Chief Executive of the Association of Oil Marketing Companies Dr. Riverson Oppong forecast more reductions in fuel prices if the cedis stability persist.
The Executive Secretary Chamber of Petroleum Consumers, Duncan Amoah has stated that there is still the need for government to review taxes on the price buildup of petroleum products.