Cameroon: Gasoline, diesel oil, domestic gas prices revised upwards

Article from July 1, 2014 Cameroon forum

As of 1 July 2014, a liter of premium gasoline costs 650F, 600F liter of diesel oil and domestic gas bottle 12.5kg passes 6500F
In a statement released Monday evening signed by the Secretary General of the Prime Minister, Louis Paul Motaze, the government announced a change in fuel prices at the pump and domestic gas from 1 July 2014. Changes announced include : liter petrol super password CFA 569 CFA 650; liter of diesel oil passes 520 CFA CFA 600F; bottle of domestic gas 12.5 kg password 6000 to 6500 FCFA FCFA. This upward revision in the prices of fuel and cooking gas, the statement said, responds to two needs. Firstly, it is to take into account the continuous increase in oil prices on the international market. It is useful to recall that the fine by the national refinery to the Cameroonian market oil is imported and undergoes continuous changes on the rise in the international market.

Secondly, it is a question of reducing the ever increasing load, always increasing, the fuel subsidy. It is the State that pays effect as a subsidy the difference between the price on the international market and that fixed nationally. This amount of money paid by the state can be used if fuel is not subsidized, in other words if "true prices" is practiced in many achievements in the social, educational and infrastructural projects. These are many development projects whose populations are in great need in the areas of health such as hospitals, clinics, availability of essential drugs, roads, public buildings, schools, training and availability of teachers especially in primary and secondary education. Grant weighs heavily on the state budget. Thus, by way of illustration, the state spent 1.2 trillion FCFA 2008-2013 grants fuels. For the first six months of fiscal 2014, it spent 157 billion. The government has had to take in this regard an important decision.

However, the government has also taken measures to support preserve the purchasing power of the population on the one hand, and mitigate the negative effects of this increase on the national economy. He decided the following set of measures: keeping the price of kerosene to 350 FCFA; the 50% reduction in the amount of the withholding tax, the axle tax and parking fee; the increase in salaries of public officials; immediate start of joint consultations with a view to upgrading the minimum wage or average inter-guaranteed salary. The implementation of these decisions will have the expected positive effects insofar as it will with a high sense of responsibility and good citizenship on the part of all stakeholders. 

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