In the next adjustment period, the domestic gasoline price is expected to “cool down” when the world oil price is falling continuously after soaring to nearly 140 USD/barrel.

After hitting the “perforation” mark of 100 USD/barrel at the end of the session on March 14, this morning on March 15, world oil prices continued to plunge in the context of the conflict between Russia and Ukraine not knowing when to end.

Specifically, the US WTI crude oil continued to retreat more than 2%, trading above the 100 USD/barrel mark, the global benchmark Brent oil also fell to the same level, trading at 105 USD/barrel. During the session, WTI oil had a time down as much as 8.75% and traded below the $100 mark, at $99.76/barrel, while Brent also dropped 8% to $103.68/barrel.

Talking to Dan Tri, a leader of a petroleum business said that the world crude oil price’s continuous decline in recent days could help the domestic gasoline price adjustment period on March 21 “cool down”.

According to the company’s calculations, the price of gasoline RON 95, E5 RON 92 is positive about 1,000 – 1,200 VND/liter, and oil is positive about 3,000 – 3,500 VND/liter.

The leader of the petroleum business said that there are still 6 days left to adjust the domestic gasoline price. If the market has a sudden and unexpected increase, depending on the amplitude, it will be possible to calculate how the increase – decrease, but it is still likely to be a downtrend.

However, the petrol price stabilization fund at many focal points is still negative hundreds of billion dong, so if the base price decreases, it is also an opportunity for the governing body to calculate the setting up of the stabilization fund. The corresponding reduction will be less to make up for the “shock” increase in the cost of the stabilization fund.

Recently, the Government also assigned the Ministry of Industry and Trade to assume the prime responsibility for, and coordinate with ministries, agencies and localities in reviewing and clarifying the role and necessity of the Petroleum Price Stabilization Fund (BOG). Amended to improve the efficiency of management and administration according to the market mechanism.

Previously, after the Government’s resolution to reduce environmental protection tax by 50% by the end of 2022, the tax reduction is expected to take effect from April 1. Each liter of gasoline is expected to decrease by 2,200 VND (including VAT) and the price of oil is also adjusted to decrease by 1,100VND/liter.

Currently, domestic gasoline prices are according to Petrolimex’s retail price list in region 1, RON95-V gasoline is priced at 30,320 VND/liter, RON95-III gasoline is 29,820 VND/liter, E5 RON92 gasoline is 28,980 VND/liter, and diesel oil 0.001S-V is 25,610 VND/liter, kerosene is 23,910 VND/liter, fuel oil is 21,080 VND/liter.

@ Cafef

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Source: Vietnam Insider