Vehicle owners will spend less on fuel cost for the festive season as the Indicative Retail Prices (IRPs) for petrol, diesel and kerosene for this month have been reduced.
The Independent Consumer and Competition Commission (ICCC) announced the new retail fuel prices for this month, which took effect yesterday, 8th December 2021.
For this month, the IRPs for petrol, diesel and kerosene will all decrease on average, throughout PNG. These retail price decreases were mainly attributed to decreases in the Import Parity Prices (IPP), as the first case of the Omicron variant was confirmed in the United States of America (USA), restricting travel and causing world oil prices to decrease.
The domestic retail fuel prices for this month are inclusive of the IPPs, domestic sea and road freight rates for the fourth quarter of 2021, the annual wholesale and retail margins for 2021, applicable excise duties, and Goods and Services Tax (GST).
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 December, 2021 |
404.05 |
356.96 |
323.81 |
|
Retail Prices on 8th November, 2021 |
413.10 |
363.14 |
333.65 |
|
Change (+/-) tpl |
-9.04 |
-6.18 |
-9.84 |
For all other centers, the maximum retail fuel prices for each regulated petroleum product will change consistent with the price changes observed for Port Moresby.
Meantime, as part of 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 maximum prices. The officers will conduct compliance inspections in Lae, Mt Hagen, Kokopo and Port Moresby.
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 is reminding retailers who sell fuel-using pumps to set fuel prices to one decimal place while the ICCC will continue to set the maximum price to 2 decimal places.
The ICCC has warned that fuel pump operators should not charge above the IRP for this month’s price regardless of the number of decimal places.
This is to ensure compliance with the Prices Regulation Act under the maximum prices of declared petroleum products are set.