Fuel prices have seen another sharp decline this week, with petrol now selling as low as GH₵10.75 per litre at some fuel stations. This marks the second drop in prices within the current pricing window of June 2025.
According to information gathered, the reduction is primarily driven by fierce competition among leading Oil Marketing Companies (OMCs), sparking what industry watchers describe as a price war.
Market leader Star Oil was the first to announce the latest reduction on June 19, slashing the price of petrol from GH₵10.99 to GH₵10.80 per litre. Diesel also saw a significant cut—from GH₵12.77 to GH₵12.13 per litre.
Following suit, Allied Oil revealed that effective June 20, it would also reduce petrol prices further. From GH₵10.97 per litre earlier in the month, the company is now selling at GH₵10.75 per litre.
Zen Petroleum has matched this rate, offering petrol at GH₵10.75 per litre, reinforcing the highly competitive environment within the industry.
Interestingly, while petrol prices are dropping, diesel has seen a marginal increase since June 16. The reasons for this fluctuation remain unclear.
The price deregulation policy introduced by the Ghanaian government in 2015 was intended to allow market forces—including competition—to influence fuel pricing. The current trend demonstrates that this policy continues to shape market behavior effectively.
Industry data suggests that the recent drops—over six reductions at the pump in recent months—have been significantly influenced by the Ghana Cedi’s appreciation against major trading currencies.
However, industry insiders caution that the current downward trend may not last. With the ongoing conflict between Israel and Iran, crude oil prices have surged from $66 to $76 per barrel. Should tensions persist, fuel prices in Ghana could rise again from July 1, 2025.
On the brighter side, some analysts believe further strengthening of the cedi could help cushion consumers from the full impact of rising crude oil prices.
For now, motorists can take advantage of the reduced fuel prices while keeping an eye on potential changes in the global energy landscape.