Fuel prices fall again as OMCs cut pump prices in July's first pricing window

Consumers of petroleum products are set to enjoy lower fuel prices as Oil Marketing Companies (OMCs) begin reducing pump prices for the first pricing window of July, marking the second consecutive downward adjustment amid favourable market conditions.

State-owned GOIL is among the first OMCs to announce new prices.

The company has reduced the price of petrol from GH¢13.87 per litre during the second pricing window of June to GH¢12.79 per litre, representing a reduction of GH¢1.08 per litre or 7.8 percent.

Diesel has also been reduced from GH¢15.95 per litre to GH¢15.35 per litre, reflecting a decrease of GH¢0.60 per litre or 3.8 percent.

Star Oil has likewise revised its prices downward.

The company is now selling petrol at GH¢12.79 per litre, down from GH¢13.39 per litre in the latter part of the second pricing window of June. The new price matches the National Petroleum Authority's (NPA) price floor for the first pricing window of July and represents a reduction of GH¢0.60 per litre or 4.5 percent.

Diesel at Star Oil has fallen from GH¢15.93 per litre to GH¢14.95 per litre, representing a decrease of GH¢0.98 per litre or 6.2 percent.

The price of Ron 95 has also been reduced slightly from GH¢15.77 per litre to GH¢15.75 per litre, a marginal decline of GH¢0.02 per litre or 0.1 percent.

The latest reductions have been attributed to falling international crude oil prices, the continued appreciation of the Ghana cedi against the United States dollar, and the National Petroleum Authority's downward revision of indicative price floors for the first pricing window of July.

For the current pricing window, the NPA has set price floors at GH¢12.79 per litre for petrol, GH¢13.54 per litre for diesel and GH¢10.11 per kilogram for liquefied petroleum gas (LPG).

These price floors represent the minimum prices at which OMCs and LPG Marketing Companies are permitted to sell petroleum products during the pricing period.

Industry observers expect more OMCs to announce price reductions in the coming days, providing additional relief to consumers and businesses grappling with transport and operating costs.