Today, the price of a canister of 95 octane gasoline and 98 octane gasoline increased by 1,000 LBP, while diesel rose by 900 LBP. Additionally, the price of gas went up by 400 LBP.
Current prices are as follows:
- 95 octane gasoline: 32,200 LBP
- 98 octane gasoline: 33,200 LBP
- Diesel: 22,300 LBP
- Gas: 24,800 LBP
Yesterday, the Ministry of Energy and Water issued a clarification regarding the mechanism used weekly to determine the price of fuel. It stated that the fuel price structures consist of:
1. The weekly average for global oil derivatives prices according to Platts reports, which is a variable element and accounts for over 70% of the cost of goods.
2. Factors that constitute the cost of goods from the country of origin to Lebanese territory include maritime transport, insurance, banking expenses, profit margins, etc. Some of these elements are fixed while others are percentages tied to the fluctuations in global oil derivatives prices according to Platts.
3. In addition to the aforementioned elements, there are fees and taxes, distribution commissions, tankers, and service stations. These elements are fixed and specified in Lebanese LBP.
4. The Central Bank of Lebanon continues to subsidize the purchase of oil derivatives at a rate of 90%, calculated based on the official exchange rate, while the remaining 10% is based on the black market exchange rate for the dollar.
Therefore, the Ministry of Energy and Water - General Directorate of Oil emphasizes that the recent weekly increase in oil derivatives prices is solely due to the rise in global prices for oil derivatives on one hand, and the sharp increase in the exchange rate of the US dollar in the black market on the other hand, which impacts the unsubsidized portion of the price, i.e., 10%. Meanwhile, the remaining percentage of 90% is still fully subsidized by the Central Bank of Lebanon.
