Namibia’s petrol prices have increased by N$2.22 per litre over the past two months, with diesel prices up by N$1.12 after the Ministry of Mines and Energy announced a 70 cents per litre increase on petrol and a 40 cents per litre increase on both diesel prices, effective from Thursday, 2 May 2024.
The upward price adjustment for May will consequently see Walvis Bay’s new prices at N$23.00 per litre for petrol, N$22.17 per litre for diesel 50 ppm, and N$22.37 per litre for diesel 10 ppm.
“The Ministry noted under-recoveries on both petrol and diesel products, amounting to 123.567 cents per litre on petrol, 60.214 cents per litre on diesel 50 ppm, and 51.208 cents per litre on diesel 10 ppm. In this context, and for Namibia as an oil importer, the imperative for striking a balance between alignment with the market dynamics and cushioning the consumers from the negative effects of excess price volatility cannot be overemphasized. The National Energy Fund will absorb the remaining under-recoveries, partially offsetting the burden on consumers,” the ministry said.
Following the government decision, petrol prices have increased by N$2.22 per litre over the past two months, with diesel prices up by N$1.12.
The government department has also announced the extension of the temporary Relief Margin of 20 cents per litre offered to the oil importers for another six months.
“The Ministry has also resolved to extend the temporary Relief Margin of 20 cents per litre offered to the oil importers for another six months or until such time that the relief margin is reviewed, or the Petroleum Import Coordination System is implemented, whichever occurs first.”
According to government data, Namibia consumes an average of 90 million litres of fuel per month.
