Fuel prices cut for third time since early May

The ministries of Industry-Trade and Finance decided to revise downward the retail price of RON95 gasoline by VND1,085 to VND20,130 per liter. Meanwhile, a liter of E5 biofuel is now sold at VND19,230, down VND986.

The prices of diesel oil 0.05S and kerosene also fell VND737 and VND614 to VND16,650 and VND15,610 per liter, respectively.

In addition, heavy fuel oil 180CST dropped VND239 to VND15,110 per kilogram.

Thus, the prices of E5 biofuel and RON 95 gasoline have fallen by more than VND1,400 and VND2,060 per liter, respectively, since the beginning of May.

The two ministries also required fuel traders to extract VND300 for each liter of E5 biofuel sold to add to the fuel price stabilization fund. As for RON95 gasoline and oils, the extraction rate is VND900 per liter or kilogram. The rates increased by VND100-VND300 from the previous levels.

According to the two ministries, the extraction rate hike is aimed at offsetting the fuel price stabilization fund, which is now in deficit.

Vietnam National Petroleum Group reported a deficit of some VND246 billion to its fund. The figure was VND645.1 billion as of June 1 at PetroVietnam Oil Corporation.

Meanwhile, the Department of Price Management, under the Ministry of Finance, has announced the fund’s deficit of VND620.7 billion as of the first quarter of this year.