- ZERA Increases Diesel Prices to $1.54 per Litre for December
- Petrol Prices Drop 2% to $1.48 per Litre Amid Diesel Price Hike
- Diesel Price Rise Occurs Despite Brent Crude Oil's 6% Month-on-Month Decline
Harare-Zimbabwe Energy Regulatory Authority (ZERA)has increased the diesel prices for the month of December, from November in US dollar terms.
Diesel prices added with 1% to $1.54 per litre from $1.52.
However, petrol prices went down 2% to $1.48 per litre from $1.51 per litre.
The increase in diesel prices come despite brent crude oil futures witnessing a 6% decrease month-on-month, 7% year-to-date and 4% year on year due to build up structures in prices used by ZERA.
United States, Saudi Arabia, Russia, China, and Canada remains the top four oil producing countries in the world.
In addition to the individual country producers, the Organization of Oil Producing Countries, or OPEC, remains a powerful cartel of oil producers worldwide that can influence the global market price.
OPEC produces about 40% of the world's crude oil with its member countries also exporting around 60% of the world's petroleum.
In April 2023, OPEC surprised markets by announcing output cuts totalling around 3.66 million b/d, or 3.7% of global demand.3 This sent the price of oil up, skyrocketing 7%.
OPEC was founded in Baghdad, Iraq, with the signing of an agreement in September 1960 by five countries namely Islamic Republic of Iran, Iraq, Kuwait, Saudi Arabia and Venezuela. They were to become the Founder Members of the Organization.
These countries were later joined by Qatar (1961), Indonesia (1962), Libya (1962), the United Arab Emirates (1967), Algeria (1969), Nigeria (1971), Ecuador (1973), Gabon (1975), Angola (2007), Equatorial Guinea (2017) and Congo (2018).
Ecuador suspended its membership in December 1992, rejoined OPEC in October 2007, but decided to withdraw its membership of OPEC effective 1 January 2020. Indonesia suspended its membership in January 2009, reactivated it again in January 2016, but decided to suspend its membership once more at the 171st Meeting of the OPEC Conference on 30 November 2016.
Gabon terminated its membership in January 1995. However, it rejoined the Organization in July 2016. Qatar terminated its membership on 1 January 2019. Angola withdrew its membership effective 1 January 2024.
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