Africa Fuel Government Tanzania

Fuel prices decrease in Tanzania

Tanzanian motorists will experience a relief in fuel expenditure in December as the prices of the petroleum products slightly decreased starting today.

On Tuesday December 1, 2020, the Energy and Water Utilities Regulatory Authority (Ewura) announced new cap price for petroleum products in the country, indicating that the retail petrol price decreased by Sh37 per litre.

Diesel decreased by Sh47 per liter and kerosene by Sh86 per liter, according to the regulator.

Ewura Director General Godfrey Chibulunje said the pieces of petroleum, diesel and kerosene changed mostly attributed to changes in oil prices in the world market and transportation costs (BPS Premium).

Fuel prices are governed by rules of demand and supply but the Energy and Water Utilities Regulatory Authority (Ewura) publishes cap prices on the monthly basis.

The prices of petrol, diesel and kerosene, applicable in Tanzania Mainland, come out through official announcement every first Wednesday of a new month.

Also read: Tanzania orders crackdown on fuel hoarding by oil marketing firms

“Changes in local prices are mainly attributed to changes in the world oil market prices and the bulk procurement system premiums,” Ewura stated.

According to the new prices announced yesterday, a litre of petrol will now sell at Sh1,865 (US$ 0.85) while that of diesel and kerosene will be sold at Sh1,687 (US$0.72) and Sh1,621 (US$0.70) in Dar es Salaam.

However, oil companies are free to sell petroleum products at competitive prices as long as those prices do not exceed the price cap as calculated by the formula adopted by Ewura.

The wholesale and retail prices for petroleum and diesel in the Northern regions of Tanga, Kilimanjaro, Arusha and Manyara which uses the Tanga port also changed compared to the prices offered November 4, 2020.

Retail prices for petrol and diesel reduced by Sh107 per liter (equivalent to 5.60 percent) and Sh27 per liter (equivalent to 1.59 percent) respectively.

Source: The Citizen

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