Fuel prices drop as OMCs cut petrol, diesel prices by GH¢1.33, GH¢0.55 in June pricing window
Consumers and businesses are set to enjoy some relief at the pumps as Oil Marketing Companies (OMCs) begin reducing fuel prices at the start of the second pricing window for June.
Among the first companies to announce price reductions is the state-owned GOIL, which has adjusted its pump prices downward in response to favourable developments on the international petroleum market.
At GOIL stations, petrol now sells at GH¢13.87 per litre, down from GH¢15.20 per litre during the first pricing window of June, representing a reduction of GH¢1.33 or 8.8%.
Diesel prices have also declined, with the product now selling at GH¢15.95 per litre compared to GH¢16.50 per litre previously, reflecting a decrease of GH¢0.55 or 3.3%.
Star Oil has likewise revised its prices downward. Petrol is currently selling at GH¢13.85 per litre, down GH¢1.35 from the previous price of GH¢15.20 per litre, representing an 8.9% reduction.
Diesel at Star Oil is selling at GH¢15.93 per litre, slightly lower than the GH¢15.99 per litre charged during the first pricing window of June, a reduction of GH¢0.06 or 0.4%.
The latest price cuts have been attributed to falling international refined petroleum product prices, driven largely by easing geopolitical tensions in the Middle East.
Market confidence improved following reports of a framework agreement between Iran and the United States aimed at reducing hostilities in the region. The development has strengthened expectations that the Strait of Hormuz will remain open to global oil shipments, easing fears of supply disruptions.
The reductions come despite the government's decision to withdraw the remaining diesel price relief of GH¢1.07 per litre ahead of the commencement of the second pricing window on June 16.
The withdrawal effectively brings to an end all temporary fuel price interventions introduced to shield consumers and businesses from the impact of rising petroleum prices linked to tensions in the Middle East.
Industry observers say the sharp decline in international petroleum product prices has more than compensated for the removal of the diesel relief programme, enabling OMCs to pass on lower prices to consumers.
More OMCs are expected to announce revised pump prices in the coming days.
For the current pricing window, the regulator has set benchmark price floors of GH¢13.39 per litre for petrol and GH¢15.11 per litre for diesel, establishing the minimum pricing thresholds across the market.