Namibia is set for a fuel price hike, with fuel prices set to increase by 30 cents with effect from the 6th of October, 2021.
“During the period under review, the local currency has appreciated against the US dollar, from an average of N$14.77 in August to an average of N$14.42 in September, 2021.This has helped to keep the recorded under-recoveries lower than they would have been had it remained the same. Owing to the aforesaid, under-recoveries were recorded: An under recovery of 48.975 cents/ litre was recorded on petrol, while 50ppm diesel recorded an under-recovery of 37.809 cents/ litre,” the Ministry of Mines and Energy said on Friday.
The petrol fuel pump price in Walvis Bay will become N$14.45 per litre and diesel will retail at N$14.18, the highest ever in Namibia since November 2018 (coastal prices) according to Cirrus Capital.
“At mid-September, data from South Africa’s Central Energy Fund suggested that their petrol price could decrease by around 18c/l while diesel prices could fall 9c/l. However, ZAR weakness and oil price increases since then may change this. Even if South Africa does see the above decreases, Namibia will still boast cheaper fuel prices. Petrol in Namibia will be R2.99/litre cheaper, while diesel will be R0.63/litre cheaper,” Cirrus Capital Head of Research, Robert McGregor said.
