Fuel more expensive next week

Jo-Maré Duddy - The petrol price will increase by 30c/l on Wednesday (2 September), while 50ppm diesel will be 15c/l more expensive.
In August, the petrol price was hiked by N$1 per litre, while that of diesel rose by 70c/l.
The ministry of mines and energy in a statement early this morning said the latest increase is less than the recorded under-recovery “to soften the burden on the consumers and at the same to ensure the sustainability of the NEF”.
An under-recovery means the local pump price was lower than the import price of fuel. An under-recovery is ordinarily passed onto the consumer or alternatively it is financed from the National Energy Fund (NEF), the ministry explained.
It continued: “Due to the changes in the international price and the exchange rate … during the month of August we have recorded an under-recovery of 26.303c/l for the 50ppm diesel and 61.940c/l for the 95-octance petrol.”
In July the under-recovery was much bigger: 164.936c/l for diesel and 204.206c/l for petrol.
“Since April 2020, we are keenly aware of the Covid-19 impact on the economy in deciding how to deal with under-recoveries,” the ministry said.
The average international price of refined petrol last month was US$47.24 per barrel compared to US$46.58 in July. For refined diesel the price was US$48.79 per barrel compared to US$49.33 in July.
The exchange rate between the Namibia dollar depreciated on average from N$16.75 IN July to N$17.21 in August.