Ministry of Industry Holds Oil Market Review Meeting
Discusses Measures to Stabilize Prices
As international oil prices continue to rise due to instability in the Middle East and other factors, the government has met with the refining industry to request restraint on excessive price hikes.
The Ministry of Trade, Industry and Energy announced that on the 12th, Deputy Minister Choi Nam-ho chaired the "Oil Market Inspection Meeting," where industry representatives and agencies reviewed trends in petroleum product prices and discussed measures to stabilize prices.
Recently, international oil prices have risen due to instability in the Middle East, with Brent crude increasing from $79.1 per barrel in January this year to $90.4 as of the 10th. Domestic gasoline prices rose from 1,569 KRW per liter to 1,677 KRW during the same period. A ministry official explained, "The rise in oil prices could increase the burden on the public's cost of living. At this meeting, the government monitored domestic oil price trends and discussed ways to minimize the impact of rising oil prices with the refining industry and discount retailers."
In particular, at this meeting, the government closely analyzed whether there were any cases of excessive price increases in petroleum products taking advantage of the rise in international oil prices. They compared the increase in international petroleum product prices with the supply prices (wholesale prices) from refiners and the retail prices at gas stations to check for any cases of price hikes exceeding the international price increase, urging the industry to make efforts to stabilize prices.
According to the Ministry of Trade, Industry and Energy, following the government's request, the refining industry agreed to restrain increases in petroleum product supply prices and prices at company-operated gas stations to help alleviate the public burden.
Additionally, the meeting analyzed the supply prices of petroleum products from discount suppliers and the retail prices at discount gas stations to verify whether they are providing more affordable petroleum products to the public in line with the purpose of the discount gas station policy. The discount sector committed to actively playing a role in lowering oil prices by striving to sell petroleum products at prices approximately 30 to 40 KRW per liter lower than the overall gas station prices.
The government is promoting the selection of 40 additional discount gas stations within the year to stabilize oil prices. It continues to implement price stabilization policies such as operating a cross-ministerial oil market inspection team and conducting special inspections of gas stations.
Deputy Minister Choi said, "Since petroleum products are essential goods for the public, the role of the oil industry in easing the cost-of-living burden is important. We hope the industry will demonstrate a spirit of coexistence, and the government will continue to make efforts to reduce the burden of oil prices."
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