State spent CFA13 billion to subsidize petroleum products since 2019

Oil and gas

Saturday, 12 June 2021 15:00

State spent CFA13 billion to subsidize petroleum products since 2019

More than CFA13 billion. That is how much the Togolese State spent on subsidies to petroleum products between January 2019 and May 31, 2021. This was disclosed on Friday by the minister of trade, Kodjo Adedze.

The official, who was explaining the reasons behind the recent increase in pump prices of petroleum products in Togo, emphasized that the State lost about CFA6 billion because of the subsidies. He subsequently revealed how much the products concerned would have cost without the subsidies.

Without the subsidy, he said, unleaded super would be sold at CFAF 595, diesel at CFAF 568, and kerosene at CFAF 517. At the moment, they are respectively sold at CFA505, CFA520, and CFA606.

Regarding the spike in prices of petroleum products, Adedze said it was mainly spurred by a "considerable change" in the price of the dollar and the barrel of oil on the international market.

"From $18 at the beginning of 2019, the oil barrel was sold at $73.93 by June 9, 2021, an increase of 277%," he indicated.

Let’s note that new prices came into effect on Friday, June 11.

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