The retail price of biofuel E5 RON 92 fell by VND975 to trade at a maximum of VND18,627 (US$0.79) per litre at 3pm today, the Ministries of Industry and Trade, and Finance announced.

This was the second consecutive decrease this month. Each litre of petrol was VND2,000 lower than the previous month.

The price of RON 95-III also dropped by VND1,093 to a maximum of VND19,972 per litre, while the prices of diesel 0.05S and kerosene went down by VND907 and VND844 to VND19,972 and VND16,242 per litre, respectively.

The price of mazut 180CST was lower by VND508 to trade at VND15,586 per kilo.

According to the ministries, in the 15 days before November 21, the global price of RON 92, which is used to produce biofuel E5, averaged $61.16 per barrel. Prices of RON95 and diesel 0.05S were $70.79 per barrel and $85.01 per barrel, respectively.

The global prices of kerosene and mazut averaged $85.98 and $459.1 per barrel, respectively.

The two ministries decided to keep the use of subsidies from the petrol price stabilisation fund unchanged.

Accordingly, subsidies for E5 RON 92 were VND700 while those for RON 95 were VND950 per litre.

As of Tuesday, the balance of the price stabilisation fund was more than VND3.1 trillion.

The price of ethanol E100, which is used to calculate the price of E5 RON 92 after the elimination of petrol RON 92, stood at VND14,737 per litre without value added tax.

Reviews of fuel prices are set to be announced every 15 days to keep up with swings in the global market.

In the previous adjustment on November 6, the retail price of E5 RON 92 was decreased by VND1,082 to trade at a maximum of VND19,600 per litre. RON 95-III also dropped by VND1,138 to a maximum of VND21,065 per litre.

Petrol prices have had 21 evaluations so far this year resulting in six increases, five decreases and 10 times they were kept unchanged.

The Organisation of Petroleum Exporting Countries (OPEC) has recently lowered its forecast for world oil demand in 2019 to 1.29 million barrels per day – 70,000 barrels a day lower than predicted a month ago – while production increased by 127,000 barrels a day to 32.9 million barrels a day. The US output rose to a record high of 11.7 million barrels a day.

OPEC ministers will meet in Vienna on December 6 to determine production policy for the next six months amidst rising global surpluses. — VNS