The Mines and Energy Ministry announced a reduction in petrol prices by N$1.20 and diesel prices by 30 cents, while at the same time introducing temporarily reduced levies on all petroleum products.
As of 5 May, the new petrol price will be N$17.90 and diesel will be N$19.93.
“The Ministry wishes to inform the public that it will continue to keep a close eye on the developments in the global oil market and continue to make decisions that are in the best interest of the Namibian fuel consumers,” Minister Tom Alweendo said.
Meanwhile, the ministry temporarily reduced levies imposed on fuel on all products, for three months. The NAMCOR Levy, road user charges and fuel tax are all reduced by 50%, while the MVA Levy is reduced by 25%.
The approved reduction in the levies amounts to 135.375 cents per litre on each of the two products and is based on the monthly fuel consumption level of about 89 million litres. The reduction of the levies amounts to about N$120.4 million per month in savings on the fuel consumption at the macroeconomic level.
“The forthcoming reduction of the levies also entails that the over-recovery on petrol of 31 cents per litre, and the under-recovery on diesel of 92 cents per litre, are each supported by an extra surplus of 135.375 cents per litre on each product,” Alweendo added.