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Gov’t Drops Petrol Prices

by newsmanager

By: Varney Dukuly (In Ghana)

MONROVIA: The Government of Liberia (GOL), and two other regulators announced a coordinated effort to tap into the price of petroleum products, attempting to drive down rising gas prices that have angered consumers around the country.

The move appeared to dissatisfy petroleum traders, who had been expecting the Boakai’s administration to announce otherwise.

The prices of petroleum reportedly rose after the announcement in some quarters of the country although administration officials said prices could fall in coming weeks.

The market reaction underscored the difficulties the Boakai’s administration faces, both politically and economically, in his efforts to react to inflation on the local market.

The government has seen its approval ratings questioned as gas and food prices have risen while oppositions has been criticizing the new government.

But the President has shifted his messaging on the issue in recent weeks; in hopes of showing consumers he understands their financial pains.

On Saturday, February 10, 2024, the government through the Executive Branch, announced a drop in the price of petroleum products as an important step toward lowering fuel costs for drivers at the start of the year.

“LPRC and Ministry of Commerce announced reductions in the pump prices of gas and diesel respectively for the month of February. Thanks to global price index (Platts),” LPRC managing Director, Amos Tweh inked on his official Facebook page.

“The price of gasoline (PMS) has been adjusted by four United States Cents while the price of fuel oil (AGO) has been adjusted by twenty-two Unites States Cents,” the release said.

According to LPRC, “These changes are based on the international prevailing market rate and the exchange rate, which falls in line with Government’s commitment to making products available and affordable at all times.”
Earlier on Friday, February 9, 2024 – the LPRC Managing Director and the Minister of Commerce said, the inspectorate team of the Ministry of Commerce will closely follow the approved ceiling price to avoid arbitrary hike in the pump prices of gasoline and fuel oil on the market.

The Ministry of Commerce and Industry will also be closely monitoring the effectiveness of the prices circular to ensure that importers do not undercut fellow competitors on the market, said the monthly price circular for February.

GlobalPetro Prices.com, as of February 5, 2024 highlighted the country’s gasoline price. Liberia: “The price of octane-95 gasoline is 192.473 Liberian Dollar per liter. For comparison, the average price of gasoline in the world for this period is 245.81 Liberian Dollar.”
Despite the joint announcement, claims and counter claims set in among citizens over the new prices adjustment with some asking for previous price for gasoline.

Others said, without providing any cogent or documentary evidence, that the adjustment by the Government was an increment.

The LPRC Management and the Ministry of Commerce maintained that the Government of Liberia has reduced the prices of petroleum products on the local market contrary to false and misleading information being spread by unscrupulous individuals, one commentator said.
In a release issued February 10, 2024, the Management of the Liberia Petroleum Refining Company (LPRC) said the government published the price circular which showed the reduction in the prices of petroleum products.

“The price of gasoline which was US$4.47 is now US$4.43/LRD 850.00 whiles the price of Diesel which was US$5.23/is now US$5.01/LRD960.00,” the release added.
See attached:

In addition, a new report released by GlobaPetro Prices.com says Libya, Algeria and Angola have the cheapest petrol in Africa.

In Libya, a litre of petrol retails at $0.031, while in Algeria, it costs $0.342. In Angola, a litre of the commodity goes for $0.362.
Egypt ($0.362); Sudan ($0.700); Nigeria ($0.722); Tunisia ($0.824); Gabon ($1.002); Liberia ($1.021) and Ghana ($1,033) round out the list of ten African countries with the cheapest petrol.
The report said that the exchange rate plays an important role in determining the price of petrol in the domestic market.
“Oil is traded in US Dollars. When the domestic currency depreciates, this makes oil imports more expensive, even if crude oil prices are unchanged. The reverse happens when the local currency appreciates: imported oil products become cheaper and fuel prices decrease,” the report says.
Following the joint announcement and subsequent clarification, constituting a drop in the prices of petroleum products on the local market for the month of February, the Executive Mansion described the step as a ‘Good news.’ See attached:

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