Effective today (March 8th), the Indicative Retail Prices (IRPs) for petrol, diesel and kerosene will all increase significantly on average, throughout PNG.
The Independent Consumer and Competition Commission outlined that the significant increase in domestic fuel prices was mainly attributed to the 12.15 percent average price increase in crude oil prices from January to February 2022, as benchmarked by Dated Brent, and reported by Standards & Poor’s Global Platts in Singapore.
“The significant increase in oil prices is attributed to the Russia-Ukraine conflict, which has disrupted crude oil supply from Russia, and subsequently triggered a spike in oil prices,” stated the ICCC.
“Furthermore, the monthly average PNG Kina-US Dollar (spot selling) exchange rate depreciated by 0.05 percent to 0.27735 in February, which had been unchanged at 0.27750 since January 2021. This will have an upward effect on import prices.
“The domestic retail fuel prices for this month are inclusive of the IPPs, domestic sea and road freight rates for the first quarter of 2022, the annual wholesale and retail margins for 2022, applicable excise duties, and Goods and Services Tax (GST).”
PORT MORESBY
As a result of adding all the various cost components mentioned above, the maximum retail price movements for petrol, diesel and kerosene in Port Moresby will be as follows:
|
Port Moresby Retail Prices (toea per litre, tpl) |
Petrol (tpl) |
Diesel (tpl) |
Kerosene (tpl) |
|
Retail Prices as of 8th March, 2022 |
449.27 |
409.54 |
371.41 |
|
Retail Prices on 8th February, 2022 |
418.60 |
378.75 |
344.87 |
|
Change (+/-) |
30.66 |
30.79 |
26.55 |
Retail prices in all other designated centres will change according to their quarterly approved domestic freight rates, and their respective annual retail margins for 2022.
For all other centres, the maximum retail prices for each regulated petroleum product will change consistent with the price changes observed for Port Moresby.
The significant retail price increases are mainly attributed to the notable increase in crude oil prices, which drove up average prices at the IPP level for February 2022.