The Institute for Energy Security (IES) has predicted a 2 percent increase in fuel prices in the first pricing window of February 2018 if government fails to implement measures to keep prices steady.

IES said world market indices indicate marginal increments which are likely to result in hikes at local pumps barring interventions from government.

“The negative price indicators, thus 5 percent jump in the price of Gasoline, 1.98 percent rise in Gasoil price, and the not-so-positive foreign exchange point to price increments at the pump for the first Pricing-window for the month of February 2018. However, the Institute for Energy Security is of the view that prices can remain same if the government intervenes through the National Petroleum Authority’s Price Stabilisation mechanism,” a release by IES Principal Research Analyst Richmond Rockson stated.

IES local fuel market performance review in the second pricing window of January 2017 shows consumers of petroleum products had to pay more at the local pumps as negative indicators caused prices to be adjusted upwards as projected by the institute.

“Almost all Oil Marketing Companies (OMCs) effected price change, increasing prices by an average 3.36percent. The national average prices for both Gasoline and Gasoil currently stand at GHS 4.62. Today, consumers can purchase the lowest selling prices on the local fuel market at Pacific Oil, Lucky Oil, Benab Oil, Zen Petroleum and Frimps Oil,” the statement explained.

IES further indicated that: “Crude oil prices continued its robust start in 2018 as Brent crude recorded a 2.76percent increase from its previous selling average of $67.70 per barrel to close the window at $69.57 per barrel. According to Standard and Poor’s Global Platts benchmark, prices for finished products continue to rise on the global commodity market as Gasoline recorded a 5.80percent increase to close at $669.16 per metric tonne from a previous average of $632.5 per metric tonne. Gasoil prices also recorded a price change of 1.98% from a previous average of $603 per metric tonne to close at $614.95 per metric tonne”.

Data by IES Economic Desk from the foreign exchange market showed the Ghana Cedi remained largely stable as compared to the US Dollar in the last 14 days, depreciating by just 0.22pecent to close trading at GHS 4.52 to a dollar.

“58,100 metric tonnes of Gasoline, 64,500 tonnes of Gasoil, 13,000 metric tonnes of LPG, 16,000 metric tonnes of Heavy Fuel Oil and 8,500 metric tonnes of ATK were imported in the last 14 days to complement in-country stockpiles,” IES emphasized.