The Institute of Energy Security (IES) has forecast a decline in fuel prices for the first half of August, attributing this anticipated decrease to favorable international market conditions.
According to Adam Yakubu, a Research Analyst at IES, the projected reduction in gasoline, gas oil, and liquefied petroleum gas (LPG) prices ranges between 2% and 4%.
This forecast is based on positive developments in the global fuel market and a slowdown in the depreciation of the Ghanaian Cedi.
“Following the positive realised on the foreign fuel market coupled with the slowed depreciation of Ghana Cedi recorded on the domestic forex market, the Institute for Energy Security (IES) projects a fall in fuel prices in the coming days.
“This anticipated fall in the first half of August 2024 is attributable to the favourable international market dynamics. Fuel Prices are expected to fall between 2% and 4% for the three petroleum products under review.”
In a statement released on July 30, Yakubu noted that the improvement in the foreign fuel market, coupled with a decelerated depreciation of the Cedi, has led the IES to predict lower fuel prices in the coming days. The anticipated decline is a result of these positive market dynamics.
For the latter half of July 2024, fuel prices showed favorable trends: gasoline decreased by 2.99%, gas oil by 4.59%, and LPG by 1.10%. Additionally, the Ghanaian Cedi’s depreciation slowed to 0.52%, the smallest drop since February 2024.
The IES’s analysis for July’s first pricing window revealed national average prices of GH₡14.23 per liter for gasoline, GH₡14.70 per liter for gas oil, and GH₡15.22 per kilogram for LPG.
However, the IES market scan indicates that Oil Marketing Companies (OMCs) like Star Oil, Zen Petroleum, and Benab Oil have recently charged higher prices, reflecting the peak prices during this period.