Fuel prices lowest since 2008 financial crisis
Cambodia's retail fuel prices have continued to drop due to a disruption in the global production chain caused by heightened global tensions and the spread of Covid-19.
The Ministry of Commerce has adjusted the retail price of regular petrol to 2,350 riel ($0.58) per litre and diesel to 2,450 riel per litre for the April 1-15 period, the lowest prices since the 2008 global financial crisis, it said in a statement.
The government has decided to set retail fuel prices twice per month based on fluctuations in prices on international markets, it said.
Retail prices in the Kingdom have continued to slump since the beginning of this year due to a global glut in oil production, Ministry spokesman Seang Thai said.
“The price of fuel in Cambodia falls or rises depending on international oil prices,” he said.
Sin Chanthy, the president of the Cambodia Freight Forwarders Association, which has a membership of more than 300 container lorry owners, told The Post on Wednesday that the discounted fuel prices will ease his members’ expenses.
“My members have to fill up their lorries with about 100 litres of petrol to transport goods from Phnom Penh to Sihanoukville port, so the reduced price will lessen part of their costs,” he said.
US West Texas Intermediate (WTI) crude plummeted 66 per cent to $20.40 per barrel on Wednesday, while Brent crude fell 65 per cent to $22.71. WTI was about at $20.40 a barrel, reported stock market site Markets Insider.
There are currently 4,000 petrol stations operating throughout the Kingdom, with only about 700 stations having a permit, said a Ministry of Mines and Energy report.
Cambodia is expected to extract its first drop of oil by the end of this year under the operations of Singapore-based firm Kris Energy Ltd, which operates the Kingdom’s offshore Block A oil deposit.