Following the increase in petroleum products in February, Petroleum
Fund has announced yet another increment of such products from Friday last week.
This is according to the press statement from the fund which announced pump price of both grades of petrol (petrol93 and petrol95) increase by 80 cents per litre and the pump price for both grades of diesel (diesel500 and diesel50) by 80 cents as well per litre while the wholesale price of illuminating paraffin increased by 65 cents per litre.
The new retail prices for all districts of Lesotho now cost M11.45 per litre while diesel 500 cost M12.95 per litre and diesel 50 cost M13.20 per litre.
It highlighted that the fuel price would not only affect motorists but also other members of the public who use paraffin for various purposes such as lighting, heating and cooking as the wholesale price for illuminating paraffin now cost M9.00 per litre.
It added that the main reason for the increases have been the rise in free on board prices for these products which has resulted in unit slate under recoveries.
The Petroleum Fund has therefore appealed to retailers to charge proper prices as it is illegal to charge prices that are different from the gazetted ones.
It added that there have been tendencies in the past by some retailers of charging prices that are above those set warning that retailers who will charge prices that are above those set as they will be prosecuted accordingly.
Petroleum Fund was established by the Minister of Finance through legal notice No. 96 of 1997 for the purpose of financing the stabilisation of petroleum product prices when necessary as well as the stabilization of prices charged by oil companies on short-term basis.
It is further expected to the purchase of petroleum products in times of crisis, provide national storage facilities for petroleum products when the need arises, improve the distribution of petroleum products throughout the country, improve safety at storage facilities and do research and studies pertinent to the petroleum sector and any other energy project on loan basis.