Diesel prices in Egypt today, and what is the price of gasoline? The Pricing Committee issues a tariff for fuel prices
Diesel prices in Egypt, the Automatic Pricing Committee for Petroleum Products officially decided on Wednesday morning, May 3, during its second meeting in 2023, to increase the price of diesel by EGP 1 per liter, so that the selling price in the local market becomes EGP 8.25 per liter, as of two o’clock in the morning. This Thursday, May 4th.
Increasing the price of diesel and stabilizing gasoline.. The Pricing Committee issues a tariff for fuel prices, diesel prices in Egypt
The Automatic Pricing Committee for Petroleum Products announced the stability of gasoline prices of all kinds, at EGP 8.75 per liter for 80-gasoline, EGP 10.25 per liter for 92-gasoline, and EGP 11.50 per liter for 95-gasoline. The selling price of a ton of diesel fuel for non-electrical uses and food industries was fixed at a value of 6,000 EGP per ton.
This decision comes after raising the price of gasoline at the previous meeting of the committee in the first quarter of 2023.
The committee meets quarterly to review the price equation and implement the automatic pricing mechanism. The committee explained that the increase came as a result of the rise in international prices for crude oil and petroleum products, in addition to the impact of the exchange rate of the Egyptian pound against the dollar.
Expectations of a decrease in global energy prices
Dr. Salah Hafez, former vice president of the General Petroleum Corporation, stated that the World Bank expected a 26% drop in global energy prices during the current year, in addition to a half-fall in natural gas prices in Europe and the United States between 2022 and 2023.
Gasoline and fuel prices receive the highest rates of budget support
Dr. Salah Hafez, former vice president of the General Petroleum Corporation, previously told Al-Nasr newspaper correspondent that the World Bank expected a 26% decline in global energy prices during the current year, in addition to a halving of natural gas prices in Europe and the United States between 2022 and 2023.
Hafez also explained that fuel and food prices receive the highest rates of subsidies within the basket of subsidized goods and services provided by the government, which means that the decline in global fuel prices will reduce the value of subsidies and reduce the budget deficit.
Low global fuel prices
Dr. Salah Hafez, former vice president of the General Petroleum Corporation, expects that the decline in global fuel prices will lead to an economic improvement in Egypt, and this is due to the fact that the Egyptian economy receives high support from the government, because fuel and food prices are among the highest levels of support in the basket of subsidized goods and services. .
It is expected that lower fuel prices will reduce subsidies and reduce the budget deficit. Hafez points out that the decline in global fuel prices may be the beginning of overcoming some of the economic problems in Egypt, and the stock exchanges have achieved good performance recently, which makes us optimistic about the Egyptian and global economy. Hafez explains that the beginning of an improvement in the trade balance deficit may be the beginning of stability, and indicates that the global decline in gold prices, if it does not create a decline in the local market, it will at least create stability.
It is worth noting that the Automatic Pricing Committee for Petroleum Products decided to amend the prices of gasoline and diesel in force in the local market, during its last meeting on Thursday, March 2, and it is responsible for making price recommendations for these products and following up on the application of automatic pricing for them.
Gasoline prices after adjustment in March
In a related context, the prices of gasoline in the current month of March 2023 came as follows:
- Gasoline 80 prices, after the increase, amounted to 8.75 pounds per liter.
- Gasoline prices are 10.25 pounds per liter of 92 petrol.
- Gasoline prices are 11.50 pounds per liter of 95 petrol.
The prices of petroleum products have been fixed in the Egyptian market during the recent period, as the selling price of a ton of diesel for non-electricity and bakery uses was set at 6,000 pounds, and the selling price of diesel at 7.25 pounds per liter, and the price of diesel supplied to electricity and food industries was fixed.
Last October, the prices of gasoline products were fixed in the local market, as the selling price of gasoline 80 was about 8 pounds per liter, gasoline 92 was about 9.25 pounds per liter, and gasoline 95 was about 10.75 pounds per liter, while the selling price of diesel was about 7.25 pounds per liter, and the sale price A ton of diesel for non-electricity and bakery uses is about 5,000 pounds.
The law stipulates that the rate of increase in the prices of petroleum products does not exceed 10% of the total prices offered in the Egyptian market, based on changes in the global market for petroleum derivatives.
Global energy prices are expected to decline by 26% this year, natural gas prices in Europe and the United States will halve between 2022 and 2023, and commodity prices are also expected to decline by 21% in 2023, in addition to expectations of a decrease in the price of Brent crude has averaged $84 a barrel this year, which is down 16% from last year’s average.