Hike In Premium Grade Fuel Price To Hit Motorists’ Pockets
Source: Vientiane Times
The retail price of premium grade fuel in Vientiane and the provinces will increase by 223 kip per litre after the Ministry of Industry and Commerce order another price hike on Wednesday.
In line with changing prices on the world market, the ministry has instructed petrol stations throughout the country to comply with the new price hikes.
The newly-amended prices only apply to premium grade petrol, while the price of regular grade petrol and diesel remains unchanged.
Every petrol station has been instructed to start charging the new prices from 6am on May 13, as amended by the Domestic Trade Department of the Ministry of Industry and Commerce.
This means that motorists in Vientiane and the provinces will pay an extra 223 kip per litre, bumping up the price to 11,289 kip per litre for premium grade petrol, up from 11,066 kip previously.
As a result of the changes, motorists in Phongsaly province will now pay 11,930 kip per litre, which is slightly higher than the price charged in other provinces. In Oudomxay province the price of premium grade petrol is less at 11,770 kip per litre.
Meanwhile, the price charged in Huaphan province is even less, at 11,689 kip per litre.
Petrol stations in the capital and Vientiane province are now selling premium grade fuel at 11,289 kip per litre, which is the lowest price in the country.
The cost of fuel has increased steadily since February when the price of premium grade petrol rose by 380 kip per litre, regular petrol went up by 270 kip per litre, and the price of diesel increased by 270 kip per litre.
These price increases put the cost of premium grade petrol in Vientiane at 10,240 kip per litre, regular grade at 9,460 kip per litre, and diesel at 8,480 kip per litre in February.
The ministry again raised the price of fuel on March 9, when Vientiane motorists were charged an extra 280 kip per litre for premium grade fuel, while regular grade petrol cost an additional 270 kip per litre and diesel increased by 250 kip per litre.
These price increases meant that premium grade petrol was sold at 10,770 kip per litre, regular grade was priced at 9,830 kip per litre, and diesel was selling at 8,720 kip per litre.
Following the latest price increase, observers say Laos is heavily dependent on imports including fuel and is therefore subject to changes in world market prices. At the same time, the government needs to regulate the price of consumer goods in relation to the rising cost of living in Vientiane.