November fuel prices stay unchanged as global oil market remains stable
The Ministry of Mines and Energy has decided to keep prices for 95 Octane Unleaded Petrol and Diesel 50 ppm unchanged at N$13.05 and N$13.63 per litre respectively for the month of November 2019.
Minister Tom Alweendo said this is because of the relatively stable condition the global oil market has been in throughout the month of October 2019, in that, there were no major events to trigger major fluctuations in the prices of refined oil.
Alweendo said that on average, prices came down compared to the preceding month. A barrel of refined petrol traded on average, at US$72 per barrel throughout October, while September recorded an average of US$73 for the same product. Diesel traded on average at US$76 throughout October whereas September recorded an average of US$77.
“Overall, there was a slight reduction in global oil prices in October compared to September, which is a good development for a net importer of oil like Namibia because it means low under-recoveries for the month,” Alweendo said.
The minister further noted that there was no significant fluctuations in the exchange rate between the Namibia Dollar and the US Dollar throughout October which slightly depreciated, on average, from N$14.80 in September 2019, to N$14.90 in the period under review. This depreciation has not however led to adverse results in the provisional Basic Fuel Price figures.
“The National Energy Fund will spare consumers the pinch at the pumps by subsidizing the under-recoveries. It is estimated that the subsidy will be in excess of N$40 million,” Alweendo added.