Fuel prices rise in January

The Independent Consumer and Competition Commission has announced the new retail fuel prices for this month, which have taken effect on Friday, 8th January, 2021.

For this month, the Indicative Retail Prices (IRP) for petrol, diesel and kerosene will all increase on average throughout PNG. These increases have mainly been attributed to the rise in crude oil prices during the month of December 2020.  

The average oil price increase was mainly due to the easing of lockdowns following the second wave of COVID-19, which led to increased oil demand from Asia. Furthermore, the price increase is also reflective of the increases in the domestic wholesale and retail margins for fuel products in 2021.

The domestic retail fuel prices for this month are inclusive of the Import Parity Prices (IPP), domestic sea and road freight rates for the first quarter of 2021, the annual wholesale and retail margins for 2021, excise duty and Goods and Services Tax (GST).

According to the ICCC’s calculations, retail fuel prices for petrol, diesel and kerosene will all increase right across the country.

PORT MORESBY

As a result of adding all the various cost components mentioned above, the maximum retail prices for fuel in Port Moresby are as follows:

 

Port Moresby Retail Prices (toea per litre)

 

Petrol (tpl)

Diesel (tpl)

Kerosene (tpl)

Retail Prices as of 8th January 2021

299.27

259.94

230.25

Retail Prices as of 8th December 2020

283.19

242.82

210.88

Price Variance (+/-) toea per litre

16.08

17.12

19.37

 

Retail prices in all other designated centres will change according to their approved in-country freight rates and their respective retail margins for 2021.

ALL CENTRES

For all centres, the maximum retail fuel prices for each petroleum product in the country will change on average as follows:

  • Petrol prices will increase by 16.07 toea per litre;
  • Diesel prices will increase by 16.36 toea per litre; and
  • Kerosene prices will increase by 18.62 toea per litre.

As part of the ICCC’s enforcement and compliance of fuel prices, its investigation officers will conduct inspections at all service stations to ensure prices of petroleum products do not exceed the allowable maximum prices.

Author: 
Press release