Fuel Prices Increases,

PORT MORESBY - Prices for all three petroleum products; petrol, diesel and kerosene, at the Import Parity Prices (IPP) level, have increased respectively for this month.

The price change is effective as of today, 8th of August, 2013.

Increase in the domestic fuel price for this month is mainly due to high domestic sea freight rates for the third quarter of 2013, continuous depreciation of kina value, and increase in crude oil prices for the month of July.

InterOil has advised the Independent Consumer and Competition Commission (ICCC) of the slight increase of the three petroleum products.

For the month of July, prices for Petrol and Kerosene per litre stands at K1.90, the new price for August is K1.98 per litre, both products increased by 8toea. Diesel has increased by 7toea, from K1.96 per litre in July, to K2.03 per litre.

CEO of ICCC, Dr. Billy Manoka said the InterOil’s calculation of the IPP is based on an interim pricing arrangement with the government.

“Under this arrangement, the Mean of Platts Singapore (MOPS) price quoted to InterOil by its overseas supplies is used as the basis of calculating domestic prices,” Manoka said.

“Officers will conduct inspections at all service stations to ensure petroleum products are sold at the right prices.”

In the meantime, he urged all fuel suppliers and retailers to comply with the new fuel prices. [EMTV]