14% increase in fuel prices expected by close of this week - OMCs

Association of Oil Marketing Companies has hinted of an increment in fuel prices in the country by the close of this week.

Prices of fuel products are expected to go up by 14% per litre.

Chief Executive of Association of Oil Marketing Companies Kwaku Agyemang Duah said this is in line with the by-weekly review of prices at the pump.

According to him, the prices went down during the lockdown and they have sold their products but have nothing to show for it. 

He said the minimum increment will be 14%.

"as part of parameters..., is hovering between 35% and 40% for PMS and petrol and diesel from between last week and this week though. We need to factor in this as well so if you put all these together because there is a deregulation people are pricing anyhow, the minimum percentage will be like 14%."

READ ALSO : Ghanaians to pay more for fuel 

"We have been struggling with the pricing on the BDCs it's been something. We are struggling to price in such a way that they will go the same quantum sometimes prices go up like this and you want to make sure at least..., when the Covid-19 was up during the lockdown our volumes went down but the prices were also going down now the prices are turning around so as we are coming up we need to show our working capital, the question is where do you get the working capital when you sold last time the prices were so low you did not get anything..." he added.

There has been an increment in the BOST Margin by Cabinet which was announced by the National Petroleum Authority (NPA) with effect from June 1.

The BOST Margin has been increased from 3 pesewas to 6 pesewas for a litre of petroleum product.