Consumers could see some relief at the pumps in the second pricing window of June, as fuel prices are projected to decline across petrol, diesel and liquefied petroleum gas (LPG), according to the Chamber of Oil Marketing Companies (COMAC).
Industry projections indicate that petrol will record the sharpest reduction, with prices expected to fall by as much as 9.31 per cent.
If fully passed on to consumers by Oil Marketing Companies (OMCs), petrol could sell for about GHS14.72 per litre.
Diesel prices are also expected to decline, with projections placing the pump price at approximately GHS17.02 per litre for OMCs that procure products on credit from Bulk Oil Distributors.
However, the reduction is expected to be more moderate following the complete removal of the government-industry intervention mechanism.
LPG is likewise projected to experience a slight decrease, with prices expected to settle around GHS17.20 per kilogram, influenced by prevailing tender arrangements in the market.
Despite the anticipated reductions, industry players noted that consumers could have enjoyed even lower prices if not for the recent depreciation of the Ghana cedi.
During the pricing period, the local currency weakened by about 2.45 per cent, moving from GHS11.59 to GHS11.80 against the US dollar.
Meanwhile, the National Petroleum Authority (NPA) has revised downward the mandatory price floors for the June 16–30 pricing window and directed all OMCs to comply.
Under the new guidelines, the minimum price for petrol has been reduced from GHS15.20 to GHS13.39 per litre, while the diesel price floor has been lowered from GHS15.49 to GHS15.11 per litre.
Market analysts expect major fuel retailers, including GOIL PLC and Star Oil, to price their products competitively and close to the revised minimum thresholds.
The projected decline in fuel prices is largely attributed to falling crude oil and refined petroleum product prices on the international market.
According to industry data, global LPG prices dropped by 19.94 per cent during the review period, while petrol and diesel prices declined by 15.21 per cent and 10.17 per cent respectively.
Crude oil prices also fell by approximately 12 per cent, dropping from around US$110 per barrel to US$97 per barrel.
Analysts attribute the decline to weaker oil imports by China, record-high crude exports from the United States and continued releases from the International Energy Agency’s strategic petroleum reserves.
Industry observers further note that reports of a potential agreement aimed at ending tensions in the Middle East could exert additional downward pressure on global crude oil prices, creating room for further reductions in fuel prices in subsequent pricing windows.
