Prime Minister Hun Sen has stepped in to lower retail petrol prices by $0.04 per litre in line with international markets.
A notice on the petrol retail price from the Ministry of Commerce on Monday said that based on the average petrol price on the international market, prices will drop by $0.04 per litre this week.
This brings the prices down to 3,500 riel per litre for regular petrol and 3,250 riel per litre for diesel.
The notice said the move was made by Hun Sen with the participation of petrol distributors in order to ease the people’s livelihoods.
“So, the retail sale under these petrol prices became effective from February 16-19, 2020,” the notice said.
It said Cambodia abides by free-market principles, but the government has a policy set by the Ministry of Commerce in calculating expected petrol prices twice per month.
Ministry of Commerce spokesman Sieng Thay could not be reached for comment.
A joint announcement, “Setting the formula for adjusting the petrol retail price in Cambodia,” was signed formally on March 9, 2016, by the ministries of Commerce; Economy and Finance, and Mines and Energy.
The announcement said the policy was for all petrol station owners to set their retail price according to the fluctuation of the international market. They had to implement the set formula.
Ma Linda, a Phnom Penh resident, told The Post on Tuesday that she welcomed the prime minister’s intervention.
She said she hopes the price can be lowered even further as prices of goods at markets are also on the rise, affecting her income.
“I think that lowering the price is good. But if the petrol price is lowered to 2,000 riel, I would be even happier. If the price of market goods is lowered, it is even better than petrol.
“My salary is taxed and I have no money to pay for my electricity bill because I have to spend much on food. So I have run into difficulties,” she said.