Fuel prices lowered by around 4-11%

AMMAN — The government on Sunday decided to lower the prices of gasoline, kerosene and diesel by 4 to 11 per cent and maintained the price of gas cylinders unchanged at JD7. 

The government's decision, effective as of Monday, was taken in accordance with the recommendations of the fuel pricing committee which convened on Sunday, Industry and Trade Minister Maha Ali said in a statement. 

Under the decision, kerosene and diesel will be sold at JD0.32 per litre, down from JD0.36 per litre, a drop of around 11 per cent. 

The price of unleaded 90-octane and 95-octane gasoline will see a 4.8 and 4.4 per cent drop under the decision respectively. 

One litre of unleaded 90-octane gasoline will be sold at JD0.495 instead of JD0.520, and a litre of unleaded 95-octane gasoline will be sold at JD0.650, down from JD0.680.  

A government pricing committee meets monthly to adjust prices in a manner that corresponds to changes in oil prices on the international market.

Prices of oil derivatives in the local market are calculated based on international prices of oil, with the addition of other costs such as shipment, handling and taxes.

Overall taxes on oil derivatives are as follows: 22 per cent on 90-octane and 40 per cent on 95-octane, while the tax is 6 per cent for all other fuel products, except for heavy oil.

All derivatives are subject to a JD0.006 stamp fee.

Last week, President of the Gas Station Owners Association Fahed Al Fayez expected the prices of fuel products for February to drop by 8 to 15 per cent, basing his expectations on the drop in the price of crude Brent oil on the international market during January.

He expected the prices of diesel and kerosene to witness a 15 per cent drop, and the prices of 90-octane and 95-octane gasoline to go down by 8 to 10 per cent.