Foday Moris: Under APC Sierra Leoneans continue to pay high price at the pump

Despite Falling Prices of Crude Oil, Sierra Leoneans  continue to Pay High Prices at the Pump.

By Foday Morris

Freetown/Sierra Leone:  In January 2015, the price of gasoline in Sierra Leone was reduced from Le. 4,500,000 (Four Thousand Five Hundred Leones) to Le. 3, 500,000 (Three Thousand Five Hundred Leones). It was a whopping 16.7% decrease in pump prices.   However, the price per barrel of crude oil at the same time was at $47.11 (Forty Seven Dollars and 11 Cents).

Fast forward to January 2016 — the price of crude oil has dropped from $47.11 (Forty Seven Dollars and Eleven  Cents) to $29.78 (Twenty Nine Dollars and Seventy Eight Cents) – that is almost a 40% (Fifty Percent) decrease in price.  

Perhaps it has been an oversight by the regulatory bodies responsible for addressing such issues, because our entire nation was extremely engaged in fighting the Ebola Virus Disease that ravaged our country and killed many of our fellow citizens from April 2014 to almost the end of 2015.

Now that we have defeated Ebola, and that the Government has launched a robust Post Ebola Recovery Plan, we must refocus on the reality that Sierra Leoneans continue to buy a liter of gasoline, diesel and kerosene at the same cost of Le. 3,750,000 (Three Thousand, Seven Hundred and Fifty Thousand Leones) despite the drastic global price reductions..

The price of a barrel of oil decreased by 36.79% .  Assuming that all things remained equal, the price of a liter of fuel should have also reduced by the same percentage rate.  This simply means that the price of fuel (Petrol, Kerosene and Diesel) should have dropped by approximately Le. 1,379.63 (One Thousand, Three Hundred, Seventy Nine Thousand and Sixty Three Cents). 

If we subtract Le. 1,379.63 (One Thousand, Three Hundred, Seventy Nine Thousand and Sixty Three Cents).from  Le. 3,750  (Three Thousand, Seven Hundred Thousand Leones and Fifty Leones) the answer is  Le. 2,370. 37 (Two Thousand, Three Hundred Seventy Thousand Leones and Thirty Seven Cents).  Why are we Sierra Leoneans still paying the old price?

On behalf of the People of Sierra Leone, and to help our economic recovery move faster, I take this opportunity to patriotically urge the Ministry of Trade and Industry, the Honorable House of Parliament and the Petroleum Companies to look into adjusting these unfair price differences to reflect the realities on the price of crude oil and fuel around the world. .

Crude Oil Data for this Date Range

Jan. 31, 2016 – 29.78

Dec. 31, 2015 – 36.57

Nov. 30, 2015 – 43.11

Oct. 31, 2015 – 46.96

Sept. 30, 2015 – 46.28

Aug. 31, 2015 – 45.69

July 31, 2015 – 54.34

June 30, 2015 – 61.31

May 31, 2015 – 62.51

April 30, 2015 – 57.54

March 31, 2015 – 52.83

Feb. 28, 2015 – 54.79

Jan. 31, 2015 – 47.11

Reference:     https://ycharts.com/indicators/average_crude_oil_spot_price