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Fuel prices to go up again – IES

Think tank group, the Institute for Energy Security, forecasts fuel costs will rise three percent in June’s first pricing window.

Reports of the predicted surge come after fuel prices rose three percent in May’s second pricing window.

Research analyst Mikdad Mohammed says that if gas prices rise as predicted, it will be predominantly due to international markets.

“What leads to the rise is based on the global price benchmark,” he told MyJoyOnline. “The prices sold in the international sphere will reflect what consumers will pay.”

Another factor is the depreciating value of the cedi. As of Friday, one dollar is worth GH¢4.70, dropping 1.32 percent.

On average, national prices went up 2 percent, with gasoline and oil selling at GH¢4.66 and GH¢4.65, respectively.

A Standard and Poor’s Global Platts analysis reports gasoline prices went up 3 percent and closed trading at $712.68 per metric tonne.

An IES Market-Scan shows Zen Petroleum currently sells the cheapest gasoline, followed by Benab Oil, Pacific, Lucky Oil and Frimps Oil.

IES projects prices will continue to escalate unless the National Petroleum Authority (NPA) intervenes.

The NPA could not be immediately reached for comment.

Meanwhile, commuters are concerned the increase will take yet another hit on their pockets.

George Ampadu, a taxi driver based in Accra, says most of his profits are going into fuel.

He said last year around this time he was paying GH¢35 to fill up. Today? GH¢60.

I make GH¢100 per day,” he said. “I pay GH¢60 for fuel per day. It leaves me with little money. How do I feed my family?” he asked.

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