New Petroleum Prices for November
17 November, 2022. The Ministry of Trade and Economic Development wishes to advise that the Tonga Competent Authority (TCA) has approved the new petroleum prices for November – December to be effective from Friday, 18th November 2022.
The petroleum product prices for November - December will slightly increase except for Petrol.
The mid-November 2022 price change is based on the October 2022 average of published daily Mean of Platts Singapore (MOPS) benchmark prices for product prices and freight cost, along with the month’s exchange rate.
Crude oil prices increased on a month average basis while product prices were variable.
Regional diesel margins in particular, have pushed higher in this region and Europe as various demand influences, including strikes at French refineries, Europe's decision to cease taking Russian products and lower export quotas from China supported prices.
Similarly, jet/kerosene prices rose as more Asian countries removed their border controls, adding to more demand pressure.
Maritime freight rates have decreased from a record high last month (down by 25%) due to recent OPEC+ decision to cut production targets from November onwards given concerns about a deteriorating economic outlook.
While lower than last month, the on-going Russia-Ukraine conflict (companies avoiding using Russian owned tankers) is supporting much higher maritime freight rates than typical. The Tongan Pa’anga has been steady. These factors combined result in variable product prices.
Therefore, wholesale petrol will decrease by 6.67 seniti/litre while kerosene and diesel prices will increase by 3.78 seniti/litre and 14.25 seniti/litre, respectively.
As a result, Tongatapu retail prices for Petrol will decrease to $3.49 per litre from the current prices of $3.56 per litre, Kerosene will increase to $3.17 per litre and diesel to $4.25 per litre.
- MTED
