Petroleum product prices are expected to remain steady on the local market during the second half of August 2024, according to the Institute for Energy Security (IES).
This stability is attributed to the slowed depreciation of the Ghanaian cedi and trends in the international market observed in early August.
Petrol and diesel prices saw declines of 2.83% and 4.46%, respectively, while Liquified Petroleum Gas (LPG) experienced a 2.66% price hike.
The cedi also depreciated by 0.77% against the U.S. dollar. The IES anticipates that, barring any regulatory or policy shifts, fuel prices will stay unchanged for the next two weeks.
World Oil Market
Increasing instability in the Middle East, combined with weakening demand from China, has led to a decline in oil prices. Both Brent Crude and WTI experienced further drops during the first pricing window of August 2024.
While geopolitical risks in the Middle East usually push oil prices higher, the current concerns about reduced demand are having a stronger impact, outweighing the potential for supply disruptions.
Local Fuel Market Performance
During the first pricing window of August 2024, liquid fuel prices at the pumps saw a decrease, marking the first drop since May 2024. Petrol and diesel prices per litre fell by an average of GH₡0.20, according to data from local Oil Marketing Companies (OMCs).
The Institute for Energy Security (IES) reported that the national average prices for this period were GH₡14.00 per litre for petrol, GH₡14.58 per litre for diesel, and GH₡15.22 per kilogram for LPG.