Increase in Petroleum Price Angered Many

Increase in Petroleum Price Angered Many

Wednesday, August 9th 2006

The latest increase in the price of petroleum products on the market has angered many Liberians saying that the increase is a mere insensitivity to already depressing plight they are in.

In an interview with this paper on this latest increment, Joe Kiawu said the increase was unnecessary because citizens were already finding it hard to cope with the first price. “It would have been better had government exercised restrain on the issue and see what happens next,” he said.

Kiawu, a resident of ELWA noted that Liberians are noted for taking advantage of windows without studying the merits and demerits.

Agreeing that there is slight increase in the price of the products on the world market as a result of ongoing confrontations in the Middle East, he said there are countries that are studying the situation in its full dimension before taking action.

“Most of these things are done so quickly because our people want to exploit almost anything and everything,” Kiawu a gas dealer said.

Several retailers of the product said the decision to increase the price of gasoline on the market was not done with caution. According to them, the Liberian government was given “unchecked privilege” to importers of petroleum because they want to get something at the end of the day.

In the wake of the latest increase, drivers around the country are similarly affecting changes to approved transportation fares. Fix fights between passengers and carboys on one hand and taxi drivers and passengers on the other hand has inundated the city.

Drivers want to take more than the officially approved fares from passengers while they too resist.

The government of Liberia last week announced an increase in the price of petroleum products on the market, beginning today, August 4.

Addressing a joint press conference yesterday in Monrovia, Commerce Minister Olubanke King Akerele, and the Managing Director of the Liberia Petroleum Refining Company, Harry Greaves told journalists that the increment was the result of recent upsurge in petroleum price on the World Market sparked by the current conflict in Lebanon.

The two officials said beginning today, wholesale distributor prices of petroleum products are gasoline, US$3.05 per gallon; gas oil, US$3.20; and kerosene, US$3.00 while retail prices are US$3.20, US$3.35, and US$3.15 respectively.

The two government officials added that wholesalers, distributors, and retailers should not sell at prices higher than these ceilings, but may sell below them.

They said the ceilings represent a 20 cent increase in gasoline of current pump price, but no change in the price of kerosene.

Both officials disclosed that for comparative purposes, the equivalent prices for these products vary between 4.50 to 5.00 USD per gallon in Cote d’Ivoire, Sierra Leone and Ghana respectively, and that government will carefully monitor the situation over the coming months in order to maintain these new ceilings.

Finance Minister Antoinette Sayeh, said the government would surely institute punitive measures against both Liberian and foreign entrepreneurs who would violate the new price ceilings.

According to Minister Akerele and Mr. Greaves, to mitigate the effects of increment in petroleum prices, government has finalized arrangements to stabilize the price of rice by October this year.

Acting Transport Minister Willie Barclay, said as a result of a consultative meeting held with the two transport unions, the FRTUL and the GTUL, it has been agreed that the latest increment announced by government does not justify any change in transport fares.
Copyright © 2006 The Analyst. All rights reserved.

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