The retail prices of petrol and kerosene for Tongatapu will remain unchanged, $3.25 per litre for petrol and $2.45 for kerosene, while the retail prices of diesel will increase by 5 seniti per litre, to $3.25 per litre, stated the Ministry of Trade and Economic Development (MTED).
Meanwhile, combining the impact of the variable international prices and weaker pa'anga, the wholesale petrol and diesel prices will increase by 2.61 and 1.78 seniti per litre respectively, while kerosene prices will decrease by 0.57 seniti per litre.
MTED advised that the Tonga Competent Authority (TCA) has approved these new petroleum prices for February, effective this week.
The February price change is based on the December 2024 average of published daily Mean of Platts Singapore (MOPS) benchmark prices for product prices and freight, along with that month’s exchange rate. The recommended wholesale prices have been calculated using 2024 Annual Review decisions approved by the TCA on 10 October 2024.
"Crude oil prices remained steady throughout the month, reflecting a continued pattern of shifting market concerns between supply security and slowing demand growth. Towards the end of the December, crude oil prices have pushed upward on the back of rising geopolitical tensions, declining stocks (particularly in the US), US threaten sanctions on Russia and higher Chinese import quotas."
While crude oil prices fell slightly, product prices were mixed.
Kerosene prices fell more than crude, diesel prices fell with crude however petrol prices increased marginally.
"While crude oil price and freight costs have remained relatively flat, the Tongan pa'anga weakened against the US dollar by approximately one percent which is the main contributor of the overall wholesale price increase for petrol and diesel."
Consumption tax is included in all price changes.
