Fuel price revisions, unleaded down by 3c

Enemalta has announced the following revisions in fuel prices effective 2^nd May 2013:

The 'Maximum Retail Price' reflects the prices fetched by Enemalta for the latest shipments of imported fuel. TFO prices will not be published for the month of May since this product is not currently sold to consumers. 

The latest unleaded consignment is based on April Platts average price. The previous unleaded consignment was based on March Platts price which on average was higher than the prices recorded in April.  Enemalta is also facing increasing security stock costs. The overall result brought about a €0.03 reduction in the petrol prices for the month of May.

With respect to diesel, there was no consignment during the month of April. A consignment was recorded end of March and as a result was based on March Platts prices.  This consignment is therefore being reflected in the closing stock levels of March. The previous diesel consignment, which is also reflected the closing stock levels was based on the average pricing for the month of February which was higher than the March average. These adjustments in the stock levels together with the increase in the increase in the security stock fees brought about stability in the diesel prices.   

The €0.01 increase in the price of Light heating Oil is attributed towards the security stock cost component which increased over the previous month.

During the month of April, ICE Brent crude prices fell by 5.52% over March prices. The front-month Brent contract has slipped below the $100/bbl level for the first time since 25 July 2012. This correction was largely pressured by sell-offs in other asset classes, along with the recent stream of poor macroeconomic data from the US and China. Brent contract has climbed above $100/bbl again, but the momentum is unlikely to gain further pace given that fundamentals continue to remain in a temporary state of weakness.

According to the latest Oil Prices Bulletin published by the European Commission, as at 22 April 2013, petrol and diesel prices in Malta ranked 15^th and 20^th respectively out of the other 27 European Countries.  The EU weighted averages for petrol and diesel are EUR 1.567/ltr and EUR 1.418/ltr respectively.  The published prices are inclusive of duties and taxes.

During the month of April 2013, the euro currency slightly increased on average by 0.50% against the US dollar to an average level of $1.3024 compared to the March average rate of $1.2964.  The euro recently fell on the back of slowing consumer demand in Germany, although losses are likely to be limited by expectations the Federal Reserve's ultra-loose policy will be maintained and weigh on the dollar. German retail sales fell for the second month running in March, confounding forecasts of a rise.