June 28, 2017
Yangon fuel
prices remain steady despite lower import prices since 13 June, according to a
report in Myanma Alin yesterday.
From 13 to 19
June, per liter fuel prices at international port terminals were Ks583 for
octane 92, Ks608 for octane 95, Ks594 for diesel and Ks607 for premium diesel
while prices at fuel stations in Yangon range from Ks660 to 690 for octane 92,
Ks715 to 740 for octane 95, Ks655 to 690 for diesel and Ks675 to 715 for
premium diesel.
Prices at
Yangon’s fuel stations increased by Ks87 for octane 92, Ks107 for octane 95,
Ks71 for diesel and Ks78 for premium diesel compared to original port prices.
Local fuel
prices naturally correlate to global petroleum prices, but sharp price
increases in Myanmar are buffered by government fuel subsidies which keep
prices artificially stable. Dramatic price increases are generally passed on to
consumers. Fuel price declines however, do not always translate to lower prices
at the pump as station owners often keep prices high relative to international
prices in order to take additional profits.
International
investors generally frown on large energy subsidies, as they artificially
insulate non-competitive economic actors against market dynamics, while many
governments support subsidies as a protectionist measure and an instrument to
ensure political stability.
Khin Saing
Ref; The Global
New Light of Myanmar
No comments:
Post a Comment