Some reasons behind growth of Premium AI-95 gasoline price - OFFICIAL

Baku. 13 January. REPORT.AZ/ Prices for imported Premium AI-95 gasoline have risen to 1.05 AZN.

Report was informed in the SOCAR, the reason is AI-95 brand gasoline is imported to the country.

According to information, the price for Premium AI-95 gasoline will be synchronized with currency rates. Henceforth its price will depend on world price tendency for premium gasoline and manat’s exchange rate.

That’s why this rise of prices doesn’t affect AI-92 brand gasoline, which is produced in our country and widely used by drivers. So the prices for AI-92 gasoline and diesel will not change.

On the other hand, demand for AI-95 is significantly less than that for AI-92. Moreover, Tariff Council doesn’t regulate prices for this fuel, as it is imported product. The new prices will affect only luxury automobile owners.

As we have already noted, prices for imported Premium AI-95 gasoline depends on prices in foreign markets. At the same time, prices for this fuel have already risen in countries of our region, as well as in other countries of the world. Fuel prices in neighboring Georgia rose in three days starting from January 3 by 40-60 tetri. Prices for gasoline brands jumped to 1.90, 1.95 and 2 GEL from 1.45 GEL in December 2016. Prices for diesel fuel also increased by 30-50 tetri. Filling stations in the country started to sell natural gas with 15-20 tetri higher prices on January 5.

Prices for natural gas vary in different filling stations. Prices for one cubic meters of gas in filling stations of Georgia are as follows: Vissol – 1.45 GEL (approximately 0.54 USD), Gamma - 1.45 GEL, Formula - 1.46 GEL, Heoraz - 1.45 GEL. But Azerbaijan didn’t change gasoline prices in 2016.

Prices in Russian market for AI-95 and higher octane gasoline rose from 38.33 RUR (1.09 AZN) to 38.36 RUR (1.10 AZN) in December.

In general, prices in Russia increased by 3.7% for gasoline and 2.7% for diesel during 2016.

All above reveal that the similar processes also underway in other countries. But unlike Russia and Georgia, rise of fuel prices in our country is limited with imported Premium AI-95 gasoline.

As we mentioned, the updated price for Premium AI-95 gasoline is 1.05 AZN. The price for this brand was lower (0.95 AZN) in comparison with those in other countries. Notably, current price for AI-92 brand gasoline is 0.70, diesel fuel 0.60 AZN.