The Institute for Energy Security (IES) is projecting an increase in prices of all petroleum products, for the next pricing window, beginning today October 2, 2023.

This is due to an increase in the international market price of petrol by 0.63%, diesel by 5.40%, and Liquefied Petroleum Gas (LPG) by 2.43%, as well as a 0.59% depreciation of the cedi against the U.S. dollar on the foreign exchange market during the last two weeks.

“The specific price increments expected for each petroleum product are as follows: Gasoline [petrol], approximately 1% per litre; Gasoil [diesel], approximately 3% per litre; and LPG, approximately 1.5% per kilogramme”, it explained.

World oil market

Brent Crude price experienced a lull on Thursday, September 28, 2023, after soaring to more than $97 per barrel on Wednesday, September 27, 2023, as traders began to take profits and the markets' macro focus shifted to increasing interest rates.

Higher interest rates historically have been detrimental to oil prices since they often result in decreased demand for oil due to declining activity and rising expenses. Interestingly, commodity analysts at Standard Chartered have argued that a hawkish Fed may actually be advantageous this time around because it will probably make OPEC+ producers more cautious for a longer period of time.

Local fuel market price

IES said amidst the global surge in the price of crude oil, leading to increased prices for refined products on the international fuels market, liquid fuels on the Ghanaian market remained relatively stable during the last pricing window.

Specifically, regarding liquid fuels, it said petrol prices remained unchanged among Oil Marketing Companies (OMCs) that were monitored.

However, OMCs, including Star Oil, Zen Petroleum, Benab Oil, and So Energy, increased the price of Gasoil by an average of about ¢0.40 per litre.

Liquefied Petroleum Gas (LPG) also experienced an increment in price of about GH¢0.40 per kilogramme.