The president of YPF, Horacio Marin, announced that starting at midnight there will be lows in the price of fuel sold at the company’s service stations. In the case of the nafta the reduction will be 1% and in the gasoil, he 2%.
Marín himself had anticipated last week that this measure was under analysis, in his participation in the Energy Forum organized by the United States Chamber of Commerce in Argentina (Amcham). The president of YPF had said: “This for me is a cI am about a paradigm important and we have to do it in Argentina. To be a normal country, When oil increases we have to increase it, and when it decreases, we have to lower the price of fuel.”
Marín made the announcement in statements to Radio Mitre: “I want to make a fair agreement with consumers. Nobody has to subsidize anyone. Neither we to the consumers nor the consumers to us. Consequently, if the price of international crude oil rises, the price of fuel locally will rise. If the price goes down, we will go down.”
The president of YPF criticized municipal fuel taxes
Marín also questioned the municipal fuel taxes: “It seems to me unfair “With consumers, it seems to me that it is not correct, there are municipalities that are charging 4%, 5% of the price of gasoline.” The president of YPF said: “I am saying that the 25% of the value, After we extract the oil, we take it, we refine it, we transport it, 25% of that is a municipal tax, which does not make much sense for the price of fuel. “It seems unfair to me, speaking as a citizen.”
The details of YPF’s fuel reduction announcement starting Tuesday
From YPF they highlighted in a statement: “Within the framework of the commitment assumed with customers, YPF informs that as of zero hours on October 1, the price of gasoline will drop by 4% and diesel by 5% on average. the whole country. This decrease will not be reflected directly at the pump, because there is a 3% increase as a result of the devaluation and of tax increase. However, YPF’s effort is -5% and -4%.”
The oil company explained that with this decision “the company maintains a fair price for its fuels that reflects the conditions of the international and local market and the evolution of costs associated with fuel production.” They clarified that the measure was established, fundamentally, “within the framework of a international price drop of Brent crude oil, which is part of the pricing structure of all fuels worldwide.
They mentioned that “in the last 8 months, YPF found a balance between international prices and local prices at the pump that allows, from now on, the latter to be raised or lowered depending on the value of Brent crude oil and the evolution of local cost components.”