A petrol station in Viet Nam. The petrol prices will be kept stable during the Lunar New Year holiday. — Photo xangdau.net

HA NOI (Biz Hub) — The ministries of Industry and Trade, and Finance have asked fuel enterprises to keep retail petrol prices stable during the Tet (Lunar New Year) holidays.

The order was issued in view of the "complicated" global oil price fluctuations.

The Deputy Minister of Industry and Trade Do Thang Hai said he had sent express despatches to notify key dealers about the request. Any other changes can only be made, based on the directives of the authorities.

The companies have also been tasked with assuring that adequate petrol reserves and supply in terms of both volumes and types of fuel are maintained.

The ministries had set the new caps for retail petrol prices on February 5. They fixed the maximum prices at VND15,686 (US$0.75) per litre for RON 92 gasoline and VND15,183 ($0.72) per litre for 0.05S diesel.

They had 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.

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

The Government had asked the ministries to closely monitor the fluctuations in crude oil prices in the global market and to adopt timely measures for determining import taxes and retail fuel prices.

This is needed to harmonise the interests of the Government, enterprises and consumers, as well as help maintain macro-economic stability, it said.

ANZ Bank economists said in a recent report that the correction in international prices of oil will have a marginal net impact on Viet Nam, which is both an exporter of crude oil and an importer of refined products.

But they pointed out that Viet Nam's oil consumption has risen sharply, and that the projected oil shortage in the country requires continued investment in downstream projects in spite of lower oil prices. — VNS