Petrol, diesel prices remain unchanged for October

The Ministry of Mines and Energy has announced that petrol and diesel pump prices will remain unchanged for the month of October.

In a media statement issued on Tuesday, Minister of Mines and Energy Tom Alweendo said during the month of September, market volatilities contributed to measured increases in oil prices.

The average exchange rate improved slightly in favour of Namibia, dropping to an average of N.dollars 14.90 per US Dollar for September from a final average of N.dollars 15.20 per US Dollar in August.

'The end results are moderate under-recoveries recorded on fuel pump prices,' he said.

Alweendo said the 2017 Petroleum Activities Return (PAR) report indicated that oil companies are failing to generate sufficient returns on their investments in the petroleum sector.

Therefore, an adjustment in their margins to a level that would encourage sustainability and further investment is required.

The ministry thus decided to increase the industry margin by 3 cents per litre from 93 cents per litre to 96 cents per litre on all the price regulated fuel products, effective as of 02 October 2019.

The ministry resolved to keep the fuel prices unchanged for October, whereby Walvis Bay pump prices which are currently at N.dollars 13.05 per litre for 95 Octane Unleaded Petrol and N.dollars 13.63 per litre of Diesel 50 parts per million, will therefore remain as is.

Source: Namibia Press Agency