Fuel Prices Unchanged for May

FUEL prices will remain unchanged this month, mines and energy minister Isak Katali announced last week.

He said global political tensions, protests, violence and a weakening South African rand, had minimal impact on petrol in terms of under-recoveries, while being favourable on diesel, which pulled through with substantial over-recoveries.

“It is for this reason that the ministry has decided to keep the fuel prices unchanged to absorb the recorded over-recoveries through the National Energy Fund (NEF) for a rainy day,” Katali stated. Katali referred to the political tension between Russia and Ukraine that resulted in Brent crude oil (which is the benchmark for Namibian imported oil) to climb above US$106 (N$1 107) per barrel in Singapore.

Walvis Bay pump prices therefore remain at N$12,29litre (unleaded 95), N$12,82litre (diesel 500) and N$12,92litre (diesel 50). Pump prices at the various inland destination will therefore also remain the same.

Mines and energy ministry is embarking on a “fuel marking project” to determine the exact fuel coming into Namibia for domestic use, and that in transit.

This is to verify the actual volumes of fuel sold locally from which levies are collected, against imported volumes from which the customs and excise duties are collected.

To fund this project, a two cents per litre increase in the NEF levy will be put into place tomorrow.

Katali said the ministry has granted a 10 cents per litre increase to ensure the oil industry keeps the country “wet”. This increase will also be effected tomorrow.

Source : The Namibian