The IES explained that the significant drop is due to the 33.36% decrease in the price of Brent crude, coupled with the considerable drop in the prices of petrol (51.29%) and diesel (27.96%) on the international market.
Crude oil prices are largely below $30-margin for this window due to a drowning global oil market as a result of unmanageable surplus as the world’s largest economies lockdown, cutting consumption by 25%.
But the cedi depreciated by 4.68% against the U.S. dollar in the last two weeks, trading at an average price of GHC5.59. This is from the previous rate of GHC5.34 recorded in the first Pricing-window of March 2020.
Fuel prices at the pump were reduced by an average of 8.8% across some major Oil Marketing Companies (OMCs) as against the National Petroleum Authority’s pronouncement of 15% reduction for the Pricing-window under review.
Shell (Vivo) for example reduced petrol and diesel by roughly 4.3%, Goil and Total Ghana shaved-off approximately 11% for petrol and diesel.
Zen Petroleum reduced fuel prices by 14% to sell at GHC4.25 per litre, thus making it the OMC with the least selling price on the market.
As a result, the national average price of fuel per litre at the pump is GHC4.88 and GHC4.90 for petrol and diesel respectively.