Kerosene price hike reversed

The Ministry of Oil has reversed an earlier decision to increase Kerosene prices in the local market, Tribune has learned. Making the decision, Shaikh Mohammed bin Khalifa Al Khalifa, the Minister of Oil, said that the petrol prices here shouldn’t be linked to international price fluctuations.

The Minister further made clear that not any government decision has been made to increase petrol prices here. According to the decision in January this year, Kerosene prices in the local market were to rise from 160 Fills/per litre to 180 Fills/per litre. Bahrain, according to a ministry official, introduced subsidy cuts as part of a raft of cost-saving measures to cope with the plummeting oil prices.

The decision also followed similar moves in other Gulf Cooperation Council nations such as Saudi Arabia, which raised fuel prices by 50 per cent. According to the ministry, the Kingdom is expected to save BD34 million in 2019 from the removal of Diesel and kerosene subsidies. In 2018, the Kingdom saved BD27 million. When combined, total savings from 2018 and 2019 amounts to BD61 million.

However, Fuel subsidies for fishermen are continuing and have reached BD1 million last year. According to the ministry, the programme has benefited around 400 fishermen. With the subsidy, Diesel prices for fishermen come to 30 fills per litre.