Stabilization fund tapped to keep fuel prices unchanged
Fuel prices were kept unchanged yesterday, as the Ministry of Industry and Trade and the Ministry of Finance allowed fuel wholesalers to use thousands of Vietnamese dong from the fuel price stabilization fund to stabilize local petrol prices.
Accordingly, fuel outlets were permitted to use VND2,801 from the fund for every liter of E5 RON92 bio-fuel petrol sold to compensate for the gap between the base and retail prices, up VND801 against the previous adjustment.
Meanwhile, fuel traders are allowed to spend VND2,061 per liter of RON95 gasoline against the previous VND1,250.
For diesel oil, kerosene and heavy fuel oil, fuel wholesalers can use VND1,343 per liter, VND1,065 per liter and VND1,640 per kilogram, respectively, from the fund for price stabilization.
As the petrol price stabilization fund was tapped for this adjustment, local retail prices of fuel remain unchanged, with E5 RON92 petrol priced at VND17,210 per liter and the higher-grade RON95 petrol priced at VND18,550 per liter.
In addition, diesel 0.05S and kerosene sell for VND15,860 and VND14,884 per liter, respectively. Heavy fuel oil is capped at VND14,083 per kilogram.
Tapping the fund helps expand the gap between the base and local retail prices, so the petrol price stabilization fund will shrink as it has been used continuously and heavily to minimize the impact of spikes in global fuel prices.
As such, if global fuel prices continue to surge, domestic fuel prices will have to cope with considerable pressure.