Faced with soaring international oil prices, government on Thursday slashed the Excise Tax on dieseline by five percent in an effort to stabilize the price of that fuel at the pumps.
Oil experts say that unrests in the Middle East and North Africa- more recently Libya- have seen the price of crude oil on Thursday close at US$110.75 per barrel
An official of the state-owned Guyana Oil Company (Guyana Oil Company) said that the E-tax was reduced from 20 percent to 15 percent.
Diesel price- now at GUY$196.50 per liter at the pump- is, according to the source, the fuel that is mostly affected by the change in international prices. About three weeks ago, the price was GUY$186.60.
The price of diesel has been soaring mainly because demand has gone up for that fuel because demand is up in many Temperate Zones due to winter.
The E-tax on gasoline remains the same because, the official said, the price has remained unchanged at 198.60 for the past three weeks.