Gasoline price increases in Azerbaijan
By Nigar Orujova
Changes in the prices for Premium (AI-95) and Super (AI-98) gasoline is a result of fluctuations in the prices of oil and oil products in world markets, a source in Azerbaijan's oil market told Trend on August 6.
The price of Premium (AI-95) gasoline increased from 0.93 manats to 0.97 manats in several gas stations of the country on August 6.
The Tariff Council said "Premium Euro-95" petrol is being imported. So its price is not regulated by the state.
Based on a decision of the Cabinet of Ministers in March 2014, the imported AI-95 and higher brand gasoline that meet the environmental standards of Euro-5 are not included in the list of the goods regulated by the state.
Last year, retail prices of gasoline have been set at 0.7 manats for AI-92, and 0.8 manats for AI-95 petrol.
Currently, these brands are purchased in the international markets. Therefore, the changes of the prices come based on their final costs, the source said.
The State Oil Company of Azerbaijan (SOCAR) has not given any recommendations to the owners of gas stations in the domestic market about changing the prices of gasoline, as it is outside the company's competence.
Alongside with other suppliers, SOCAR Petroleum company imports gasoline to Azerbaijan.
Earlier, Azerbaijan's Cabinet of Ministers reduced the rates of customs and excise duties for the import of high ecological standard gasoline at lower prices. This made it possible to import Premium Euro-95 and Super Euro-98 gasoline at lower prices and selling them at free market prices.
After starting the import of 95 octane gasoline, the prices of this fuel increased from 0.8 manats to 0.93 manats per liter. In turn, the prices of 98 octane gasoline decreased from 1.5 manats to 1.03 manats per liter.
AI-95 and AI-98 gasoline brands account for approximately 10 percent of total consumption in Azerbaijan and these brands are not used in the spheres of production and services.