Fuel prices indicate slight decline
Fuel prices showed a slight decrease in the domestic fuel oil market.
Fuel prices were K3,010 per litre of Octane 92, K3,120 for Octane 95, K2,635 for diesel and K3,260 for premium diesel on 2 January.
The prices were to K2,985 per litre of Octane 92, K3,095 for Octane 95, K2,615 for diesel and K3,225 for premium diesel on 3 January.
The figures reflected a decrease of K20 to 35 per litre.
The price index set by Mean of Platts Singapore (MOPS), pricing basis for many refined products in southeast Asia, influences the domestic fuel prices, according to the Supervisory Committee on Oil Import, Storage and Distribution of Fuel Oil.
Under the Supervisory Committee on Oil Import, Storage and Distribution of Fuel Oil, the Petroleum Products Regulatory Department has been issuing daily reference wholesale prices to ensure price stability for energy consumers.
The committee is inspecting the fuel stations to see whether they are overcharging. Authorities are taking action against those retailers of fuel stations under the Petroleum and Petroleum Products Law 2017 if they are found overcharging rather than the set reference rate.
As per the statement, 90 per cent of fuel oil in Myanmar is imported, while the remaining 10 per cent is produced locally. Domestic fuel prices are highly correlated with international prices. The State is steering the market to mitigate the loss experienced by the importers, sellers and energy consumers. Consequently, the government is trying to distribute the oil at a reasonable price compared to those of regional countries.
Some countries levied higher tax rates and hiked oil prices than Myanmar’s. However, Malaysia’s oil sector receives government subsidies and the prices are about 60 per cent lower than those of Myanmar. Every country lays down different policy patterns to fix oil prices, the Supervisory Committee on Oil Import, Storage and Distribution of Fuel Oil stated. — NN/KK
