TRIBUNE
The average price of diesel around the world is N1,973.51 in Naira per litre and 1.117 U.S. per litre worldwide.
However, there is a substantial difference in these prices among countries.
Generally, richer countries have higher prices while poorer countries and the countries that produce and export oil have significantly lower prices.
The differences in prices across countries are due to the various taxes and subsidies for diesel as all countries have access to the same petroleum prices of international markets but then decide to impose different taxes.
Cheaper petrol means lower operational costs in businesses like shipping, manufacturing, and agriculture, which boosts profitability and encourages expansion.
Iran tops the list with the cheapest petrol prices in November at $0.029 AND N48.146
Below are the 10 nations with the lowest fuel prices in November 2024 according to GlobalPetrolPrices.com.
1. Iran
Iran boasts the world’s cheapest fuel, priced at just $0.029 per litre (48.146 Naira). This ultra-low cost reflects the country’s vast oil reserves and heavy government subsidies aimed at maintaining affordable energy for its citizens. However, the subsidies pose significant fiscal challenges, particularly amid international sanctions and economic difficulties.
2. Libya
In Libya, fuel costs $0.031 per litre (51.577 Naira), making it the second cheapest globally. The country’s abundant oil reserves and subsidized energy policies keep fuel highly affordable. Despite political instability, Libya continues to leverage its resources to provide low-cost energy for its population.
3. Venezuela
Venezuela offers fuel at $0.035 per litre (58.910 Naira), ranking among the world’s cheapest. This affordability is due to the country’s vast oil resources and government price controls. However, years of economic turmoil and hyperinflation have made it challenging to sustain these subsidies, with occasional fuel shortages impacting citizens.
4. Angola
In Angola, fuel is priced at $0.329 per litre (553.055 Naira). As a leading oil producer in Africa, the country benefits from domestic production, enabling relatively affordable fuel. Nevertheless, the government faces challenges balancing subsidies and revenue generation, especially as it seeks to diversify its economy.
5. Kuwait
Fuel in Kuwait costs $0.341 per litre (574.257 Naira). As a major oil exporter with one of the world’s highest GDPs per capita, Kuwait maintains low fuel prices as part of its welfare policies. Its substantial oil reserves ensure a stable domestic energy supply, further supporting its low-cost structure.
6. Egypt
At $0.343 per litre (576.688 Naira), Egypt’s fuel prices reflect its dual role as a producer and consumer of petroleum. Although the government has implemented subsidy reforms in recent years, fuel remains relatively affordable, ensuring energy access for its large population while supporting economic growth.
7. Algeria
Algeria offers fuel at $0.344 per litre (578.873 Naira). As a significant oil and gas producer, Algeria uses subsidies to make energy affordable for its citizens. However, the government faces pressure to reform its subsidy system to address fiscal constraints and promote economic diversification.
8. Turkmenistan
Turkmenistan sells fuel at $0.428 per litre (720.601 Naira). The country’s energy sector benefits from substantial natural gas reserves and fuel prices remain low due to state subsidies. However, economic isolation and limited export diversification pose long-term challenges.
9. Malaysia
In Malaysia, fuel costs $0.460 per litre (775.026 Naira). As a major oil and gas producer in Southeast Asia, the country benefits from domestic production to keep prices moderate. Government policies aim to balance affordability with fiscal responsibility, ensuring a stable supply of energy.
10. Kazakhstan
Kazakhstan’s fuel price is $0.490 per litre (824.318 Naira). Rich in oil and gas resources, the Central Asian nation maintains relatively low energy costs for its citizens. The government’s efforts to modernize infrastructure and expand refining capacity contribute to affordable fuel pricing.
THIS STORY FIRST APPEARED IN TRIBUNE
