15th November 2016 The Ministry of Commerce, Consumer, Trade, Innovation & Labour wishes to advise that the Tonga Competent Authority (TCA) has approved the new petroleum prices for November – December 2016 to be effective from Wednesday 16th November 2016.
Crude oil prices continued to hover around USD50/bbl with uncertainty over how OPEC will implement its production cuts. Dated Brent averaged USD49.66/bbl, about USD3/bbl higher than September.
Crude oil prices rose in the first half of October as declining US stocks supported the market. Prices were further supported by OPEC members working through the details of the production cuts with each member. However, prices fell during the latter half of October as global demand eased.
While crude prices rose, product prices rose ahead of crude supported by strong regional demand.
Comparing the October month averaged prices with September, crude oil (Dated Brent) is up by USD2.99/bbl (6.4%). Kerosene and diesel prices rose by USD5.96/bbl and USD6.61/bbl respectively while petrol prices rose by USD4.65/bbl. All products prices were supported by improving refining margins and strong fourth quarter product demand.
As the Tongan Pa’anga was steady, the increased international prices fed through to higher Tongan product prices. Wholesale petrol and kerosene will increase by 8.75 seniti/litre and 10.84 seniti/litre respectively, while diesel prices recorded the highest increase up by 11.98 seniti/litre. All price changes include consumption tax.
For further information please contact the Ministry of Commerce, Consumer, Trade, Innovation & Labour at telephone 23688 ext 130
Ministry of Commerce, Consumer, Trade, Innovation & Labour 15th November, 2016
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