Three months after Government slashed gas prices by 30 percent, they are backPrices at the Rubis Service Station, Providence, yesterday.up again.As a matter of fact,Cheap Jerseys Free Shipping, prices at Rubis indicated a $20 difference from the early January high levels before the reductions implemented by Government had kicked in.But there is no evident reason for the big jump as oil prices remained below US$60 per barrel yesterday on the world market. Nasdaq was trading crude oil at US$57.74 per barrel.At Rubis, Providence on East Bank Demerara, prices for gas was $207 per litre while diesel was $176. At the state-controlled Guyana Oil Company (GuyOil),Cheap NFL Jerseys China, their service stations were selling for $179.30 for gas while diesel was $174.70.Since January, prices have been hovering between US$55 and US$47 per barrel on the world market.In January as pressure mounted on Government to reduce prices at GuyOil, the Ministry of Finance announced that gasoline and diesel would be reduced at the pump by 30 percent. GuyOil’s price moved from $995 per gallon to $695 per gallon,Stitched Jerseys, a $300 reduction. Diesel prices declined from $985 per gallon to $694 per gallon another 30 percent,Wholesale Nike NFL Jerseys, while kerosene was reduced from $850 per gallon to $496 per gallon which represented a 42 percent drop.This meant that GuyOil was selling for less than $160 per litre of gas.In early March,Jerseys From China, prices had started to rise at the independently controlled Sol and Rubis.Sol Service Station had its prices for gasoline set at $185 per litre, $176 per litre for Diesel and $172 per litre for kerosene, an increase from January, when the prices for gasoline had dropped from $219.90 to $154.90 for gasoline, $217 to $156.90 for diesel and kerosene had plummeted from $212 to $172 per litre.Oil on the world market fell by almost 50% last year and further slumped to a new six-year low in late January. Government said that it has in place a well-functioning mechanism for adjusting excise taxes charged on fuel products. This, he claimed, is to protect the consumer in the event of hiking fuel prices.He said that under this mechanism, the tax rate is adjusted to an inverse relation to the movement in the world market price of crude oil. This means that the excise tax rate is adjusted downwards by the government when world market prices are moving upwards, and excise tax rates are adjusted upwards when world market prices are moving downwards.Finance Minister Dr. Ashni Singh had said that the mechanism has been very effective over the years to cushion the price impact of imported fuel on domestic users. He said that “between December 2008 and March 2012, the world market price for crude oil increased by 184 percent, while price for a gallon of gasoline in Guyana only increased by 77 percent”.Local prices, Government has said, have been determined by factors such as the cost,Wholesale NFL Jerseys Online, insurance and freight (CIF); by the world market price for refined fuel products, which in turn is termed by world market price for crude oil.
