Gov’t raises fuel prices by 1.43-2.81%

AMMAN — The government on Saturday decided to increase the prices of gasoline, kerosene and diesel by 1.43 to 2.81 per cent for May and maintained the price of gas cylinders unchanged at JD7, the Jordan News Agency, Petra, reported.

The government’s decision, effective as of Sunday, was taken in accordance with the recommendations of the fuel pricing committee, which convened on Saturday, Petra reported.

Under the decision, kerosene and diesel will be sold at JD0.365 per litre, up from JD0.355 per litre, an increase of around 2.81 per cent.

The prices of unleaded 90-octane and 95-octane gasoline will see a 1.9 and 1.43 per cent increase under the decision respectively.

One litre of unleaded 90-octane gasoline will be sold at JD0.535 instead of JD0.525, while a litre of unleaded 95-octane gasoline will be sold at JD0.705, up from JD0.695.

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, 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.

The Lower House Energy Committee recently expected the prices of fuel products to remain the same in May, despite the rise in global prices.

“Initial readings show that the prices of fuel should remain unchanged in May. We will most likely recommend that in the committee meeting the beginning of next month,” the head of the panel, MP Raed Khalaileh, told The Jordan Times last week.

He noted that the global increase in prices “does not require increasing them locally”.

“The rise in global fuel prices only stands at between 1 and 2 per cent,” Khalaileh said.