A gas station employee fills up a car. Authorities set new caps for retail petrol prices on February 5 following global oil price developments. — Photo vtc.vn

HA NOI (Biz Hub) — The Ministries of Industries and Trade and Finance set new caps for retail petrol prices on February 5, urging domestic dealers to enforce them from 3pm onwards.

The authorities said in a news release that the maximum prices have been fixed at VND15,686 (US$0.75) per litre for RON 92 gasoline and VND15,183 ($0.72) per litre for 0.05S diesel, based on the global petrol price developments over the last fortnight.

They also stipulated limits of VND15,623 ($0.74) per litre for kerosene, VND11,861 ($0.56) per kilogramme for 180CST 3.5S mazut, and VND15,356 ($0.73) per litre for biofuel E5 gasoline.

The Viet Nam National Petroleum Group (Petrolimex) announced that it has made adjustments in time, slashing the price for a litre of E5 by VND320 to VND15,350. The prices of other products will remain unchanged, it added.

Domestically, the base price for diesel has slid 0.1 per cent during the last fortnight, while the base prices have risen 3.3 per cent for gasoline, 2 per cent for kerosene and 5 per cent for mazut, according to the ministries.

The base price is typically calculated, based on the import prices plus taxes, costs and profit quotas for fuel dealers.

The authorities have also allocated new quotas for enterprises by establishing price stabilisation funds on February 5. Dealers must now extract VND340 per litre for gasoline, VND520 per litre for kerosene and VND270 per litre for mazut for the stabilisation reserves, or all for VND800.

They are to extract VND820 per litre for diesel, or 20 dong higher than the previous level.

Retail prices for petrol have been cut twice this year in the context of global oil prices experiencing continuing declines. — VNS