The Independent Consumer and Competition Commission (“ICCC”) hereby announces the new retail fuel prices for this month, which will take effect on Wednesday, 8th November 2023.
For this month, the Indicative Retail Prices (IRPs) for petrol, diesel and kerosene will all decrease on average, throughout PNG. These retail price decreases are mainly attributed to the average decrease in international crude oil prices in the previous month of October 2023. The average crude oil price decrease was mainly attributed to reduced demand from China, as China’s manufacturing activities have slowed down.
As reported last month, crude oil is a globally-traded commodity and is currently volatile due to changes in global demand and supply and geopolitical tensions. Whilst fuel prices increased last month, they have all decreased this month. They can even go up again next month, hence, as usual the movement in fuel prices going forward is unpredictable.
The domestic retail fuel prices (IRPs) for this month are inclusive of the Import Parity Prices (IPPs) or the imported costs for each petroleum product, domestic sea and road freight rates for the third quarter of 2023, the annual wholesale and retail margins for 2023, and the Goods and Services Tax (GST), including the applicable excise duties, among other parameters.
As a result of adding all the various cost components mentioned above, the maximum retail price movements for petrol, diesel and kerosene in Port Moresby will decrease as follows:
Port Moresby Retail Prices (toea per liter, tpl)
|Retail Prices as of 8th November, 2023||446.65||455.37||427.01|
|Retail Prices on 8th October, 2023||468.80||472.66||444.44|
|Change (+/-) tpl||-22.15||-17.29||-17.43|
Retail prices in all other designated centers will change according to their quarterly approved domestic freight rates for the last quarter of 2023, and their respective annual retail margins for this year. For all other centers, the maximum retail prices for each regulated petroleum product will all decrease on average consistent with the decreases observed for Port Moresby.
ENFORCEMENT AND COMPLIANCE
As part of the ICCC’s enforcement and compliance of fuel prices, our Investigation Officers will conduct inspections to all service stations to ensure prices of declared petroleum products comply with the allowable maximum prices. The following ICCC officers will conduct compliance inspections in Lae, Mt. Hagen, Kokopo and Port Moresby. Inspections in other provinces will be supported by our ICCC Agents and respective Provincial Administration in those provinces. Please note:
- Christopher Gabesoa, Mr. Reuben Joshua, Mr. Dennis Jerry and Mr. Bill Boiu will conduct compliance inspections to all service stations in the National Capital District. They can be reached on telephone number, 312 4600;
- Allen Monyomb, and Ms. Pamela Ipambonj will conduct compliance inspections in Lae. They can be reached on telephone number, 472 2859;
- Roman Rosting and Mrs. Dorcas Baining Julai will conduct compliance inspections in Kokopo, Rabaul, Kerevat, Warangoi and Toma. They can be reached on telephone number, 982 9711/982 8476; and
- Kevin Kondo, Mr. Jeffery Khar, Mr. Jerry Maki and Mr. Johnny Anderson will conduct compliance inspections in Mt. Hagen, Kundiawa, Goroka and Kainantu. They can be reached on the following mobile numbers, 7369 8251/ 7232 4861.
The prices set by the ICCC are the indicative maximum retail prices, for which retailers may choose to sell below the ICCC approved maximum price.
Whilst retailers may choose to set fuel prices on their pumps to one decimal place, the ICCC will continue to set the maximum price to 2 decimal places. No fuel pump operator should charge above the Indicative Retail Price for this month’s price regardless of the number of decimal places. This is to ensure compliance with the Prices Regulation Act under which the maximum prices of declared petroleum products are set. Retailers who are displaying prices to 1 decimal place are urged by the ICCC to round the prices down to ensure prices are within the allowable indicative retail prices.
ICCC Inspectors will continue to conduct spot checks after 8th November 2023, to ensure on-going compliance by retail fuel operators.
Consumers are advised to report any instances of overcharging by retailers through the ICCC’s Consumer Protection Division on telephone number 312 4600, or by contacting our Regional Offices closest to you on the numbers provided above.