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Retail, Wholesale Price for Fuel Spirals Down

Retail prices for petrol, diesel and kerosene have been reduced by 3.43 per cent, 3.50 per cent and 4.88 per cent respectively, the Energy and Water Utilities Regulatory Authority (EWURA), announced yesterday.

Likewise, wholesale prices for petrol, diesel and kerosene have decreased by 3.63 per cent, 3.72 per cent and 5.20 per cent respectively.

A statement issued in Dar es Salaam by the EWURA Director General, Mr Felix Ngamlagosi, cited the slight decrease in world market prices for fuel as well as the decrease in freight and premium charges as the main contributing factors.

The retail and wholesale prices are applicable effective today in all Tanzania Mainland regions, except Tanga. Retail and wholesale prices of petrol and diesel for Tanga Region have increased compared with prices in the publication of August 3.

Retail prices for petrol and diesel have increased by 2.64 per cent and 1.03 per cent respectively. Likewise, wholesale prices for petrol and diesel have increased by 2.8 per cent and 1.1 per cent respectively.

According to the DG, the slight increases of both petrol and diesel prices in Tanga have mainly been contributed by receipt of new products (petrol and diesel) in August 2016, which was to be received in July 2016.

Another reason is late arrival of the ship, which was expected to discharge such fuel products in Tanga within August 2016 but instead shifted to September 2016. "These cap prices can be accessed through mobile phones by dialling *152*00# and then follow provided instructions.

This service is free of charge and is available at all mobile phone service providers in the country," the EWURA statement said. In line with the prevailing sector legislation (Petroleum Act, 2015, Section 166), prices of petroleum products are governed by rules of demand and supply.

The regulator affirmed in the statement that it will continue to encourage competition in the sector by making available pricing information for petroleum products, including price caps.

Such information on prices is intended to enable stakeholders to make informed decisions on petroleum prices at any particular time. It further read that the Oil Marketing Companies (OMCs) were free to sell their products at a price that gives them a competitive advantage, provided that such price does not exceed the price cap for the relevant product as was computed using the approved formula - which was gazetted through the Government Notice No. 70 published on February 12, 2016.

EWURA insisted that all petrol stations should publish petroleum product prices on clearly visible boards and price boards should be clearly visible and should clearly show prices charged, discounts offered as well as any trade incentives or promotions on offer. "Consumers are advised to purchase from stations that sell products at the most competitive prices.

It is an offence not to have prices published on boards located in clearly visible places in front of petrol stations and it will attract punitive measures from EWURA," the statement read in part.

According to the statement, retailers must issue receipts with respect to all sales that they make and consumers are required to demand and keep receipts that clearly show the name of petrol station, date on which such purchase was made as well as the type of fuel and price per litre for every purchase they make.

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Sebastian Foo
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