Fuel prices set to fall from July 1 as petrol, diesel and LPG become cheaper

Motorists and households across Ghana are expected to pay less for fuel from Wednesday, July 1, with petrol, diesel and liquefied petroleum gas (LPG) all projected to record significant price reductions.

The Chamber of Petroleum Consumers (COPEC) says the expected cuts are being driven by a sharp fall in global crude oil prices and the continued strengthening of the cedi against the US dollar, offering welcome relief after months of fluctuating fuel costs.

According to COPEC, global crude oil prices have fallen by nearly 20% during the current pricing window, dropping from $97.32 to $78.16 a barrel. At the same time, the cedi has appreciated by 3.14% against the dollar, reducing the cost of importing petroleum products.

Petrol is expected to become about 6% cheaper, with the average pump price projected to fall from GH¢14.24 to GH¢13.36 per litre.

COPEC estimates that oil marketing companies could sell petrol for between GH¢12.69 and GH¢14.03 per litre, depending on their pricing strategies.

Diesel is forecast to record the largest reduction after international prices declined by more than 15%.

The consumer advocacy group expects the average retail price of diesel to fall from GH¢16.26 to about GH¢14.10 per

litre, with prices likely to range between GH¢13.39 and GH¢14.80.

Liquefied petroleum gas (LPG) is also expected to become cheaper. COPEC projects prices could range from GH¢9.54 to GH¢10.55 per kilogram after international LPG prices dropped by almost 16%.

The projected reductions come as the National Petroleum Authority (NPA) lowered its price floors for the first pricing window of July, setting minimum prices of GH¢12.79 per litre for petrol, GH¢13.54 for diesel and GH¢10.11 per kilogram for LPG.

Price floors represent the minimum rates at which oil marketing companies are permitted to sell petroleum products during each pricing window.

COPEC is urging fuel retailers to pass on the full benefit of the favourable market conditions to consumers without delay, arguing that lower fuel prices would help reduce transport costs and ease pressure on household budgets and businesses.

The chamber also welcomed the government's decision to allocate part of Ghana's crude oil from the Jubilee Field to local refineries, saying the move could reduce the country's dependence on imported refined fuel, strengthen the cedi and improve long-term price stability.

If the projected reductions are implemented, this will mark another consecutive decline in fuel prices, reinforcing expectations that easing global oil markets and the cedi's recent recovery could continue to provide relief for consumers in the months ahead.