The Ministry of Trade and Economic Development wishes to advise that the Tonga Competent Authority (TCA) has approved the new petroleum prices for August – September 2024 to be effective from Monday, 19th August 2024.
The mid-August 2024 price change is based on the July 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 the 2023 Annual Review decisions approved by the TCA on 10 August 2023.
Crude oil prices remained steady in the first half of July, trading around USD 85 per barrel. Prices fell in the second half due to concerns over weaker Chinese economic data and a stronger US dollar, which offset tighter supply. The average price for Brent crude in July stood at USD 83.88 per barrel, reflecting a 1.1% increase compared to June.
While crude oil prices rose slightly, product prices, particularly petrol, saw more significant increases. Petrol refining margins are holding up, with lower production from South Korea being offset by expectations of more exports from China.
Despite continued attacks on shipping, freight rate for Medium Range tankers in the Asia-Pacific region have continued to drop, down about 10% on a monthly average. The Tongan pa’anga has slightly weakened against the US and Fijian dollar, affecting the landed cost of fuel into Tonga.
Combining the impact of the international prices rise and a weaker Tongan pa’anga, partially offset by lower freight costs, the overall wholesale petrol price will increase by 3.31 seniti per litre, while kerosene and diesel prices will drop by 1.34 seniti per litre and 1.25 seniti per litre, respectively. As for Tongatapu retail price, petrol and kerosene will increase by 5 seniti/litre while diesel remains constant. Retail prices for the Outer Islands are provided in the attached price notification. Consumption tax is included in all price changes.
For any further details and enquiries, please do not hesitate to contact: Ms Ilaisaane Mila, Price Control Unit, Consumer Protection and Fair-Trade Division at telephone 7400129/7400105 ext 131 or email ilaisaanem@mted.gov.to

Click here to view Price Notification for August – Sept 2024

Ministry of Trade and Economic Development
19 August 2024
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