The Independent Consumer and Competition Commission has announced the new retail fuel price for the month of August, effective as of last Sunday.
The Indicative Retail Prices (IRPs) for petrol, diesel and kerosene will all increase on average, throughout the country. These retail price increases were attributed to higher oil demand because of global recovery from the COVID-19 pandemic, with the help of accelerating vaccination programs.
ICCC states that the domestic retail fuel prices for this month are inclusive of the IPPs, domestic sea and road freight rates for the third quarter of 2021, the annual wholesale and retail margins for 2021, applicable excise duties, and Goods and Services Tax (CIST).
As a result of adding all the various cost components mentioned, 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 August |
379.98 |
322.56 |
292.54 |
|
Retail Prices as of 8th July |
370.30 |
320.82 |
290.30 |
|
Change (+/-) tpl |
9.68 |
1.74 |
2.24 |
The retail prices in all other designated centers will change according to their quarterly approved domestic freight rates and their respective annual retail margins for 2021.
For all other centers, the maximum retail prices for each regulated petroleum product will change consistent with the price changes observed for Port Moresby.
The retail price increases are mainly attributed to the average price increases at the IPP level for August.
As part of the ICCC's enforcement and compliance of fuel prices, its Investigation Officers will conduct inspections to all service stations to ensure prices of petroleum products comply with the allowable
The prices set by the ICCC are the indicative maximum retail prices, for which retailers may choose to sell below the ICCC approved maximum price.
The ICCC would like to remind retailers who sell fuel using pumps to set fuel prices to one decimal place while it will continue to set the maximum price to 2 decimal places.
Commissioner of ICCC, Paulus Ain said: “No fuel pump operator should charge above the Indicative Retail Price for this month's price regardless of the number of decimal places.
“This is to ensure compliance with the Prices Regulation Act under which the maximum prices of declared petroleum products are set,”
He said retailers who are displaying prices to 1 decimal place are urged to round the prices down to ensure prices are within the allowable indicative retail prices.
The ICCC Inspectors will continue to conduct spot checks after 8th of August, to ensure retail fuel operators comply.