|
ECONOMIC REGULATION - Determination of Pump Prices |
The Pump price is derived as follows by the
OMCs: 1 | WHOLESALE PRICE TO
OMC |
| a | 2 |
|
|
| 3 | Terminal
Fee | $5/m3 | b | 4 |
|
|
| 5 | Road
Levy | 15% | c | 6 |
|
|
| 7 | Excise
Duty | 45% | d | 8 |
|
|
| 9 | Ex Refinery
Gate | K/M3 | E=( a+b+c+d
) | 10 |
|
|
| 11 | Transport
Margin | 2.6
cents/litre | f | 12 |
|
|
| 13 | TOTAL (Excl
VAT) |
|
| 14 |
|
|
| 15 | OMC
Margin | 6
cents/litre | g | 16 | OMC Cost of
Finance |
| h | 17 |
|
|
| 18 | TOTAL (Excl
VAT) |
| I=( e+f+g+h
) | 19 |
|
|
| 20 | Dealer
Margin | 4
cents/litre | j | 21 |
|
|
| 22 | PRICE TO
DEALER |
| K= ( i+j
) | 23 |
|
|
| 24 | ERB
Fees | 0.70% | m | 25 |
|
|
| 26 | Strategic Reserves
Fund | K/litre | n | 27 |
|
|
| 28 | Price before
VAT |
| P=( k+m+n
) | 29 |
|
|
| 30 | VAT | 17.5% | q | 31 |
|
|
| 32 | Pump
Price |
| R=( p+q
) |
Current agreed margins are 6 c/l for OMCs, 4 c/l for Dealers and 2.6
c/l for Transporters. Other costs included in the Pump price build-up are:
Insurance, Transportation Costs and Handling Costs Working and Transit
Losses |
