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  • Friday ,11 January 2019
العربية

New fuel price indexation will apply to 95 octane gasoline only: Egypt petroleum ministry

By-Ahram

Home News

00:01

Wednesday ,09 January 2019

New fuel price indexation will apply to 95 octane gasoline only: Egypt petroleum ministry

Egypt s Ministry of Petroleum said a new automatic price indexation mechanism on fuel - set to start in April - will only apply to 95 octane gasoline , and that 92 octane and 80 octane gasoline will not be affected, Egyptian, the ministry s spokesman Hamdy Abdel-Aziz told Al-Ahram Arabic news website.

Abdel-Aziz said 95 octane gasoline will see a 10 percent increase or decrease depending on its cost, the exchange rate against foreign currencies, and the costs of circulation and transfer.
 
The official state gazette has published a decision to establish a technical committee which would review the automatic pricing mechanism on the 95 gasoline every three months this year.
 
In June 2018, Egypt raised fuel prices by up to 50 percent – the fourth fuel subsidy cut since 2014 – to meet the terms of an IMF loan under the country s 2014 reform programme.
 
The 95 octane prices went up from EGP 6.6 per liter to EGP 7.75, while 92 octane gasoline prices reached EGP 6.75 instead of EGP 5 per liter. Prices of 80 octane increased to EGP 5.50 from EGP 3.65.
 
The economic reforms, which included new taxes, deep cuts to energy subsidies and a currency devaluation, has helped Egypt secure a $12 billion loan from the IMF in 2016.