Petroleum prices in Vietnam were cut from Monday to the lowest level over the past 11 years.
Under the decision of the ministries of Industry and Trade and Finance, from 3 pm on April 13, the retail price of RON92 and biofuel RON95 was reduced by VND613 and VND621 per litre. The price decrease for diesel oil, kerosene and mazut is VND436, VND502 and VND126 per litre consecutively.
Following the price cut, RON92 and RON95, diesel, mazut and kerosene are sold at less than VND11,343; VND11,939 per litre; VND10,823 per litre; VND8,639 per litre and VND9,327 per litre respectively.
This is the seventh consecutive petroleum price decrease in Vietnam so far this year.
The ministries have also approved the use of VND400 from the petroleum price stabilisation for a litre of E5RON92. The level for RON95, kerosene and diesel is at VND1,400 and mazut at VND200 per litre.
Due to Covid-19, the domestic petroleum demand has drastically dropped, resulting in the high inventory for Dung Quat and Nghi Son oil refineries. So, PetroVietnam has asked for the suspension of petroleum import to reduce the inventory.
Meanwhile, the Ministry of Industry and Trade has also proposed the environmental tax for petroleum products which have remained high. Dtinews
Vietnam’s oil and gas inventories are over 90 percent higher than the required level, meeting the domestic petroleum consumption demand in the next few months, according to the Vietnam Energy Association (VEA).
The revenues of PetroVietnam and Petrolimex slumped by $6.13 billion and $521.74 million this year due to the dropping oil price and the COVID-19 health crisis.