The Petroleum Pricing Committee (PPC) met on Wednesday 18 September 2024 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), recommended that the retail prices of Mogas and Gas Oil be maintained at their present level as per Regulation 5 (1) and 5 (2).
The Committee also took note of the evolution of world prices of Mogas and Gas Oil and also considered the estimated deficit of Rs 3.9 billion in the Price Stabilisation Account (PSA) of Gas Oil.
Mogas (L’Essence) –Based on the new Reference Price of US$ 769.73 per metric ton for Mogas, that is, the actual prices for June to August 2024 and the future prices for September to November 2024 at an exchange rate of Rs 46.3057/US$, the new retail price works at Rs 65.77 per litre, that is a decrease of 0.65%, hence the retail price of Mogas is maintained at its current level in accordance with Regulation 5 (1).
Gas Oil (Diesel) – The new Retail Price of Gas Oil has been calculated using the new Reference Price of US$ 89.18 per barrel, that is, the actual prices for June to August 2024 and the future prices for September to November 2024 and an exchange rate of 46.3057/US$. Since the PSA of Gas Oil is in deficit by about Rs 3.9 billion and Regulation 5 (2) stipulates that “subject that there are funds in the PSA, the retail price of a petroleum product shall be decreased,” the retail price has been maintained at Rs 63.95 per litre.
The deficit in the PSA has evolved since December 2021 as hereunder:
It is to be highlighted that the above deficits pertain only to Mogas and Gas Oil and not to the other operations of STC.
The evolution of the world prices of Mogas and Gas Oil from 1 January to 17 September 2024 is shown in the graphs below:
Graph 1 - Mogas
Graph 2 - Gas Oil
The retail prices of Mogas (L’Essence) and Gas Oil (Diesel) are maintained at Rs 66.20 per litre and Rs 63.95 per litre respectively. The new Price Structures are as follows:
|
|
Mogas |
Gas Oil |
|
Reference Price - US$ per Metric Ton |
769.7300 |
- |
|
Reference Price - US$ per barrel |
- |
89.1800 |
|
CIF - US$/litre |
0.6503 |
0.6165 |
|
Exchange rate – Rs/US$ |
46.3057 |
46.3057 |
|
|
Rupees per litre |
|
|
CIF |
30.1126 |
28.5475 |
|
Excise duty |
11.8700 |
4.2200 |
|
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 |
0.0500 |
0.0500 |
|
Contribution to Subsidy on LPG, Flour and Rice |
7.2000 |
7.2000 |
|
STC’s Operational Expenses |
0.3500 |
0.4000 |
|
Fund to Price Stabilisation Account |
0.3726 |
7.8512 |
|
TRANSFER PRICE TO OIL COMPANIES |
52.2152 |
50.4287 |
|
Oil Companies’ Operational Expenses and Wholesale Margin |
2.3500 |
2.1800 |
|
VAT (15%) |
8.6348 |
8.3413 |
|
WHOLESALE PRICE |
63.2000 |
60.9500 |
|
Retail Margin |
3.0000 |
3.0000 |
|
RETAIL PRICE (Price at Petrol Service Station) |
66.2000 |
63.9500 |
18 September 2024