The Ministry of Commerce and Industry (MoCI), in consultation with the management of the Liberia Petroleum Refining Company (LPRC), has announced new price ceiling for petroleum products on the Liberian Market.
According to a price circular jointly signed by the Minister of Commerce & Industry and the Managing Director of the Liberia Petroleum Refining Company, the wholesale prices for diesel and gasoline are US$4.10 and US$4.73 respectively while the retail pump prices for diesel and gasoline are US$4.38 or its Liberian dollar equivalent of L$845.00 and US$5.01 or its Liberian dollars equivalent of L$970.00 respectively.
The current price of gasoline reflects a five United States Cents (US$0.05) reduction while the price of diesel fuel remains unchanged. The authorities of both the Ministry of Commerce & Industry and the Liberia Petroleum Refining Company said that the current changes in the price structure for petroleum products on the Liberian market is based on internationally prevailing market situations and the growing levels of insecurity along major shipping routes that have increased other exogenous costs such as insurance, freight and risk premiums charges that are influencing domestic petroleum prices.
As a consequence of the abnormal security conditions in and around oil producing countries and along major international shipping routes, the Government of Liberia has taken key steps in avoiding the global petroleum price volatility from adversely affecting the livelihood of Liberians. Some of which are issuance of an Executive Order # 128 by President Joseph Nyumah Boakai suspending US$0.20 surcharge on petroleum products.
In furtherance of the president’s action, the Board of Directors and Management of LPRC have reduced the storage and handling fees for both diesel fuel and gasoline, and have also suspended a 2% financing cost on diesel fuel and gasoline respectively. These interventions which have resulted to Liberia having the lowest price level for both diesel and gasoline in the Mano River basin and other countries in West Africa will remain enforced pending the outcome of the price on the global oil market.
The MoCI and LPRC Inspectorate Team will closely monitor the approved ceiling prices to avoid arbitrary hike in the pump prices of diesel and gasoline on the local market.