There will be a drop in the prices of fuel and gas from today.

The price of unleaded fuel will drop by 12 cents a litre to $2.83, diesel will drop to $2.97, premix will go down by 13 cents to $2.64 a litre and kerosene will decrease from $2.41 to $2.36 a litre.

A 4.5kg cylinder of gas will drop to $15.30 while a 12kg cylinder will drop by $1.42 to $40.80.

Bulk gas will be $3.15 kg while Auto gas will be $2.09 a litre.

The fuel price review in Fiji follows a one-month lag period and as such, November 2022 local fuel prices are based on imports made in September 2022 by fuel companies.

FCCC has applied October 2022 Saudi Aramco Butane Contract Price (CP), while international freight rates and foreign exchange rates were based on September 2022 imports to determine LPG prices for November 2022.

Favourable Fuel Price Change Factors

Fuel price in Fiji is impacted by movement in the Means of Platts Singapore (MOPS), international freight rates, and foreign exchange rates. The major reason for the changes in local prices of fuel products in November 2022 is due to:

a) Favourable movement noted in the international refined fuel prices in September 2022 – the price of motor spirit, premix, kerosene, and diesel decreased when compared to international refined fuel prices in August 2022.

b) Unfavourable movement noted in the international freight rates of all refined fuel products, that is international freight rate increased based on September 2022 imports.

c) Strengthening of the USD against the Fijian dollar on all refined products, however, the decrease in refined fuel price outweighed the strengthening of the exchange rate.

Crude Oil Market

Crude oil prices trended lower in September 2022, extending the previous month’s losses.

The decline in crude oil prices was preliminarily driven by:

1. Continued selloffs in future and equity markets and persistent market volatility.
2. Crude prices were under pressure from the softer demand in the spot market.
3. Spot prices came under pressure die to extensions on COVID-19 related restrictions in
   China.
4. The DME Oman crude oil prices fell month-on-month in September by $7.25 or 7.5%.
5. The accumulation of unsold cargoes in the Atlantic Basin put downward pressure on
   prices of prompt loading cargoes.
6. North Sea Dated fell to a discount against ICE Brent’s first month contract in September
   2022
7. The OPEC Reference Basket (ORB) lowered in September 2022 month-on-month,
   falling amid declines in related crude benchmarks.
8. Central banks worldwide continued to raise their benchmark interest rates to contain high
   inflation, and global manufacturing activity weakened.
   These global economic factors in September 2022 contributed to the change in the local
   Fijian prices for refined oil products for which the prices will be effective from 1 November
   2022.
   Favourable LPG Price Change Factors
   The major reason for the movement in prices for all LPG products in November 2022 in the
   Fijian economy based on October 2022 Saudi Aramco Butane CP and September 2022
   international freight and exchange rate are due to the following reasons:
   a) Decrease in Butane Contract Price (CP) compared to last review, from USD630/MT to
   USD560/MT, a decrease of USD70/MT or 11.11%.
   b) Decrease in average international freight compared to last review; and
   c) Slightly strengthening of the USD against the Fijian dollar, however, the decrease in
   Butane Contract Price and international freight outweighed the strengthening of the
   exchange rate.