Taipei--Domestic gasoline and diesel prices are likely to drop next week in the wake of falling international crude oil prices, market sources said on Friday.
With a supply glut remaining unresolved despite an output cut by the Organization of the Petroleum Exporting Countries (OPEC), crude futures prices in New York and London both tumbled 5 percent to their lowest levels since November.
To reflect the price fall, state-owned CPC Corp. Taiwan (??) is expected to cut NT$0.3 per liter for gasoline and NT$0.4 per liter for diesel next week.
CPC is scheduled to announce its prices for next week at noon on Sunday and put them into effect at midnight.
If CPC adjusts its fuel prices for the coming week as forecast, prices at the pump will fall to $20.9-NT$21 per liter for super diesel, NT$23.4-NT$23.4 for 92 octane unleaded gasoline, NT$24.8-NT$24.9 for 95 octane unleaded and NT$26.8-NT$26.9 for 98 unleaded, the sources said.
CPC calculates its weekly fuel prices based on a weighted oil price formula made up of 70 percent Dubai crude and 30 percent Brent crude.
Due to a decline in international crude oil prices, CPC had calculated the average price of crude oil at US$49.49 per barrel as of May 4, down from NT$50.33 per barrel a week earlier, according to its website.
Source: Focus Taiwan News Channel