Aviation Turbine Fuel (ATF) is an important fuel for airlines. As the volume of ATF sold compared to Light Diesel Oil, Inferior and Superior Kerosene, Petrol, Octane and Furnace Oil is small and hence is hardly discussed. Same is the case with Furnace Oil, an important industrial fuel. There is little public discussion about the pricing of these two types of fuel.
Way back in mid 1950s, this writer used to work for an overseas-based oil storage and distribution company. At that time, ATF for airlines and Bunker Oil for ships, were usually determined on the basis of regional imported prices in Singapore.
However, there should be price differential between inferior and superior kerosene, largely used as cooking fuel in district or sub-divisional towns where natural gas is not supplied.
This writer feels, that the price of kerosene, should be reduced, considering that it is a fuel for mostly middle income people, who have no access to natural gas for domestic use and more so because that gas reserves are reducing rapidly. The only way out, is to rationalise consumer price for gas prices to compensate for it. One way could be to increase the price for octane which is more or less a rich man's fuel, and also slightly increase petrol prices to help common people to get kerosene at a cheaper price. It was also surprising to note that unit profit was same both for Petrol and Octane. Normally Octane being a better fuel should be yielding more profit compared to petrol. This should be rectified so that Octane may yield more profitability because of its being a superior motor fuel.
Finally, attention should be paid to the price base of lubricating oils and greases. This important oil product is used in most machines across the industrial world. With the fall of oil prices, pricing of this also too needs to be rationalised.
Engr.S.A.Mansoor
Dhaka.
[email protected]
- Saturday, 23 November 2024 |
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