Othman said in televised statements that global events and geopolitical tensions such as the events in Gaza and Sudan, and the movement of the exchange rate, which was an inevitable necessity due to its positive impact on the markets, led to a significant increase in the cost.
He explained that the subsidy for diesel has almost doubled to reach 20 pounds, noting that the surrounding countries sell diesel at a price exceeding 35 pounds, while its price in the global markets is about 34 pounds, adding: “The daily subsidy provided for diesel causes the state to lose 450 million pounds per day, and if we add the subsidy for gasoline and the subsidy for fuel supplied to electricity, the subsidy exceeds one billion pounds per day, and this is a terrifying number.”
In turn, Hamdi Abdel Aziz, the official spokesman for the Ministry of Petroleum and Mineral Resources, revealed the amount of support provided by the state for gasoline and diesel prices after their price increases, indicating that the global cost of diesel exceeded 33 pounds per liter and diesel represents 40% of local consumption.
He explained that the selling price of a litre of diesel in neighbouring countries is about 30 pounds per litre, noting that the cost of diesel subsidy amounts to 400 million pounds per month, while the cost of gasoline subsidy amounts to 90 million pounds per month.
He pointed out that the reasons for the movement of petroleum product prices today are due to the rise in global oil prices as a result of geopolitical tensions in the region, which led to a rise in petroleum product prices as a result of the rise in shipping costs, insurance and travel hours in crude oil transport operations, which affected the final cost of fuel prices.
Source: Akhbar Al-Youm + Cairo 24
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2024-07-25 20:20:51
