Fuel Prices Raised for April; Kerosene and Gas Prices Held Steady

Gasoline and Diesel Prices Increased; Kerosene and Gas Prices Fixed for April
Gasoline and Diesel Prices Increased; Kerosene and Gas Prices Fixed for April
Fuel prices in Jordan have been adjusted for April, with increases applied to gasoline and diesel, while kerosene and domestic gas cylinder prices remain unchanged.اضافة اعلان

The new prices are as follows:

Gasoline (Octane 90): 910 fils per liter (up from 820 fils)
Gasoline (Octane 95): 1,200 fils per liter (up from 1,050 fils)
Diesel: 720 fils per liter (up from 655 fils)
Domestic gas cylinder (12.5 kg): maintained at 7 JOD
Kerosene: maintained at 550 fils per liter

The Fuel Pricing Committee held its regular meeting on Tuesday, reviewing global fuel price trends during March compared to February. The review showed continued and notable increases driven by regional developments.

In line with the government’s policy of gradually reflecting global price increases while limiting their direct impact on citizens and economic sectors, the committee decided to partially adjust local fuel prices for April, without fully reflecting actual global costs.

The government will gradually compensate for the resulting cost differences until global prices stabilize. It noted that during the first month of the regional crisis, the government incurred direct energy and electricity costs amounting to approximately 150 million JOD.

Under the decision, the price of the domestic gas cylinder remains unchanged at 7 JOD, with government support of 2.4 JOD per cylinder for April, despite rising global LPG prices. Kerosene prices were also kept unchanged at 550 fils per liter.

The committee emphasized that the price increases do not affect government tax revenues but instead reflect only part of the rise in global prices. It also noted that government subsidies on diesel and kerosene exceed the taxes imposed on these fuels.

According to the committee, the actual cost for April stands at:

1,165 fils per liter for Octane 90 gasoline
1,325 fils per liter for Octane 95 gasoline
1,120 fils per liter for diesel
1,135 fils per liter for kerosene

The government has absorbed a significant portion of the increases, reflecting approximately:

37% of the actual increase for Octane 90
55% for Octane 95
14% for diesel
0% for kerosene (fully absorbed)

The committee confirmed that the decision aims to balance actual costs with local pricing, in line with government efforts to mitigate the impact of global price fluctuations.Summary of Price Changes for April:
90-Octane Gasoline: Increased to 910 fils/liter.

95-Octane Gasoline: Increased to 1,200 fils/liter.

Diesel: Increased to 720 fils/liter.

Domestic Gas Cylinder (12.5 kg): Fixed at 7 JOD.

Kerosene: Fixed at 550 fils/liter (no increase).

Detailed Report:
The Fuel Pricing Committee held its monthly meeting on Tuesday to review oil derivative prices for March compared to February. The review showed significant and continuous increases in global fuel prices, driven by regional developments.

In line with the government's policy of gradually reflecting global price hikes to mitigate the direct impact on citizens and economic sectors, the Committee decided to adjust domestic prices for April at rates that do not reflect the actual global costs. The government will gradually compensate for the resulting cost differences once global prices stabilize. It is noteworthy that the government has already borne direct energy and electricity costs amounting to approximately 150 million JOD during the first month of the regional crisis.

Key Decisions:

Cooking Gas: The price of a domestic gas cylinder (12.5 kg) remains fixed at 7 JOD. Despite rising global costs for Liquefied Petroleum Gas (LPG), the government is providing a subsidy of 2.4 JOD per cylinder for April.

Kerosene: The price remains fixed at 550 fils/liter, with the government absorbing the entire global price increase.

Gasoline & Diesel: 90-octane gasoline rose from 820 to 910 fils/liter; 95-octane rose from 1,050 to 1,200 fils/liter; and diesel rose from 655 to 720 fils/liter.

Cost Discrepancy:
The Committee clarified that this increase does not affect tax revenues but reflects only a portion of global price hikes. In fact, the subsidy provided for diesel and kerosene exceeds the tax imposed on these products.

Comparison of Actual vs. Local Prices for April:
| Fuel Type | Actual Global Cost | New Local Price | Percentage of Hike Reflected |
| :--- | :--- | :--- | :--- |
| 90-Octane Gasoline | 1,165 fils/liter | 910 fils/liter | ~37% |
| 95-Octane Gasoline | 1,325 fils/liter | 1,200 fils/liter | ~55% |
| Diesel | 1,120 fils/liter | 720 fils/liter | ~14% |
| Kerosene | 1,135 fils/liter | 550 fils/liter | 0% |

The Committee emphasized that these decisions aim to strike a balance between actual costs and domestic prices, aligning with government policies to limit the impact of global price fluctuations.