Petrol price deregulation – be aware of the pitfalls
Plans to deregulate the fuel price by imposing a price cap on 93 octane petrol could have major unintended consequences.
Plans to deregulate the fuel price by imposing a price cap on 93 octane petrol could have major unintended consequences.
To understand how the fuel price is comprised, the Automobile Association (AA) gives us this snapshot of how the cost of every litre of petrol inland, and at the coast, is determined.
Shale frackers printed money when oil traded above $100; coped at $70; and slashed costs to stay alive at $50. Below that level, they now need to pull new rabbits out their hats.
Oil dropped to the lowest level in almost seven years following OPEC’s decision to abandon the group’s production limits.
OPEC could potentially boost crude oil production to 33 million barrels a day, after international sanctions are removed against Iran amid a global supply glut.
Investors still betting on an oil price-led rebound for energy stocks like South African fuel-from-coal producer Sasol might consider Buffett’s warning.
These are tough times for commodity producers and it will be interesting to see who comes out of the slump on top.
Nigeria must urgently reform the way it sells oil to prevent Africa’s biggest crude producer losing billions of dollars of revenue
Oil fell as Iran’s vow to boost crude exports after OPEC maintained its output target renewed speculation that a global oversupply will persist.
Brent crude will be lower by the end of the year as production is set to increase from Iraq and Iran, shale oil output stabilizes while demand slows, according to OPEC’s former head of research