The Petroleum Pricing Committee (PPC) met on Friday 9 February 2018 and after verification of the computation of the retail prices of Mogas and Gas Oil, as provided for under Regulation 8 of the Consumer Protection (Control of Price of Petroleum Products) Regulations 2011 (as amended), decided that the retail prices be maintained as follows as per Regulation 5(3):

Product       

Retail Price
Rs / Litre

Mogas

47.30

Gasoil

38.10


As per PPC of 20 December 2017, the retail price of Mogas was Rs47.30 per litre and that of Gas Oil was Rs38.10 per litre. The Reference prices used at that time were US$600.39 per M.Ton for Mogas and US$72.22  per Barrel  for Gas Oil. The Price Stabilisation Account (PSA) had a negative balance of Rs333 million as stated in the press release of 20 December 2017. Since then, the deficit in the balance of the PSA has been reduced to Rs211.1 million as at 9 February 2018.

The Reference prices used for the present exercise, that is, the actual price for November 2017 to January 2018 and the future prices for February 2018 to April 2018 are US$644.53 per M.Ton for Mogas representing an increase of US$44.14 per M.Ton (7.35%) and US$80.12 per Barrel for Gas Oil representing an increase of US$7.90 per Barrel (10.94%) compared to December 2017. Since the percentage increases in the retail prices of Mogas and Gas Oil are below 4%, their prices are maintained at their current levels, as per Regulations.

The evolution of the FOB prices of Mogas and Gas Oil since 21 December 2017 are shown below:

                                                         Graph 1 - Mogas                                                                                                                                         

                   

                                                Graph 2 - Gasoil

                                                                                                 


Based on the new Reference prices, the retail prices of Mogas and Gas Oil have been maintained at their current level, that is, Rs47.30 per litre and Rs38.10 per litre respectively as shown below:

                         

Mogas

Gas Oil

Reference Price  - US$ per metric ton

644.53

 -

Reference Price  - US$ per barrel

-

80.1200

CIF - US$/litre

0.5179

0.5268

Exchange rate – Rs/US$

33.2500

33.2500

 

                     Rupees per litre

CIF

17.2202

17.5161

Excise duty

14.8000

7.3000

Maurice Ile Durable levy

0.3000

0.3000

Contribution to Road Development Authority

1.8500

1.7500

Contribution to Rodrigues transportation and storage

0.4100

0.4100

Contribution to the construction of storage facilities for petroleum products

0.1000

0.1000

Contribution to subsidy on LPG, Flour and Rice

2.7000

2.7000

STC’s operational expenses

0.3500

0.4000

Adjustment

(0.3638)

(0.9037)

TRANSFER PRICE TO OIL COMPANIES

37.3664

29.5724

Oil Companies’ operational expenses and wholesale margin

1.9300

1.7600

VAT (15%)

6.1696

4.9696

WHOLESALE PRICE

45.4660

36.3020

Retail margin

1.8340

1.7980

RETAIL PRICE (Price at Petrol Service Station)

47.3000

38.1000

 

9 February 2018