Fuel prices to increase on Wednesday

04 Sep 2018 18:10pm
WINDHOEK, 04 SEP (NAMPA) – Fuel prices are expected to increase with 40 cents on all petroleum products at midnight on Wednesday, jumping from an average N.dollars 13.90 in August to N.dollars 14.30.
The Ministry of Mines and Energy (MME) made this announcement on Monday, noting the depreciation exchange rate between the Namibia Dollar against the United States Dollar during August, as one of the major contributing factors to the increment.
MME Deputy Minister, Kornelia Shilunga during a media briefing here on Tuesday noted the importance of regulating the petroleum products.
“The ministry has the responsibility to adjust the fuel prices on a monthly basis with the aim to ensuring that consumers are charged the actual fuel costs,” she added.
She noted that the grounds on which local fuel pump prices are reviewed monthly include cases in which import cost on the prevailing local pump prices are lower than the price per litre at which bulk oil importers bought the fuel from international markets, the need to increase these prices arises.
“Equally, if the import cost on the prevailing local pump prices are higher than the price, per litre, at which the bulk oil importers bought the fuel from international markets, the need to decrease fuel prices arises.”
The deputy minister noted that the National Energy Fund (NEF) paid over N.dollars 320 million from April to July 2018, on behalf of consumers to subsidise oil costs.
Shilunga however noted that in an effort to discover and produce its own crude oil, the Government is increasing exploration efforts to ensure the location of this natural resource on the Namibia continental shelf.
Fuel prices will see pump prices at Walvis Bay increase to N.dollars 12.95 per litre (p/l) for 95 Octane Unleaded Petrol, N.dollars 13.28 p/l for Diesel 500 parts per million (ppm) and N.dollars 13.33p/l for Diesel 50ppm.
(NAMPA)
IB/HP/EK/