Ghanaian motorists could see substantial savings at fuel stations beginning Monday, June 16, following projections of significant reductions in the prices of petroleum products across the country.
New estimates released by the Chamber of Oil Marketing Companies (COMAC) indicate that petrol, diesel and liquefied petroleum gas (LPG) are all expected to record price declines during the second pricing window of June.
Petrol is anticipated to experience the biggest drop among the three products. Industry projections suggest pump prices could fall by more than nine percent, potentially bringing the cost of a litre down to about GH¢14.72 if oil marketing companies fully pass on the reductions to consumers.
Diesel prices are also expected to decrease, with some retailers likely to sell a litre for around GH¢17.02, particularly firms that obtain supplies through credit arrangements with Bulk Oil Distributors. LPG users are also expected to benefit from a modest reduction, with prices projected to hover around GH¢17.20 per kilogram.
The expected relief comes despite a weakening cedi, which partially offset what industry analysts say could have been even steeper reductions. COMAC reported that the local currency depreciated from GH¢11.59 to GH¢11.80 against the US dollar during the pricing period, representing a decline of about 2.45 percent.
Meanwhile, the National Petroleum Authority (NPA) has announced lower price floors for the June 16 to June 30 pricing window. The minimum allowable price for petrol has been reduced to GH¢13.39 per litre from GH¢15.20, while diesel’s floor price has fallen to GH¢15.11 per litre from GH¢15.49.
The revised benchmarks are expected to intensify competition among oil marketing companies, with market observers predicting that some major retailers may position their pump prices close to the newly approved minimum levels in an effort to attract customers.
Industry analysts attribute the downward trend primarily to developments on the international market, where both crude oil and refined petroleum product prices have recorded significant declines.
Crude oil prices have reportedly fallen by roughly 12 percent this month, dropping from about US$110 per barrel to US$97 per barrel. The decline has been linked to weaker demand from China, increased oil exports from the United States and continued releases from strategic petroleum reserves by countries within the International Energy Agency.
Refined fuel products have also seen notable price reductions globally. COMAC estimates that international LPG prices have dropped by nearly 20 percent, while petrol and diesel prices have declined by more than 15 percent and 10 percent respectively.
Market watchers say the outlook could improve further in the coming weeks, as reports of progress toward resolving tensions in the Middle East raise expectations of additional stability in global energy markets, potentially paving the way for further reductions in fuel prices.
