Turkmenistan enters Top 10 countries with low gasoline prices

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According to Global Petrol Prices at the beginning of September 2024, the average global price for gasoline is $1.31 per liter.

However, this figure hides a vast range of prices across different countries, influenced by factors such as the level of economic development and national energy policies, reports Eurasiatoday.ru.

Price Contrasts: From Lowest to Highest

The lowest gasoline prices are seen in oil-exporting and developing countries. Iran leads with the cheapest fuel, where a liter of gasoline costs just $0.029.

It is followed by Libya ($0.032) and Venezuela ($0.035). The top 10 countries with the lowest prices also include Egypt, Angola, Kuwait, Algeria, Turkmenistan, Malaysia, and Nigeria.

On the opposite end, wealthier countries with high standards of living experience the highest fuel costs. Hong Kong holds the record, with gasoline priced at $3.269 per liter.

High prices are also common in Israel, Barbados, Singapore, Denmark, Switzerland, the Netherlands, and Iceland.

Factors Determining Fuel Costs

The price differences between countries are driven by several factors:

- Taxation: In most developed countries, high fuel taxes significantly increase the price for consumers.
- Subsidies: Many oil-exporting countries and some developing economies subsidize fuel production and sales, keeping prices low.
- Production and Refining Costs: Countries with their own oil reserves and advanced refining industries usually have lower fuel prices.
- Transportation Costs: In countries that import oil or petroleum products, transportation costs heavily influence the final price.
- Exchange Rates: Since oil is primarily traded in U.S. dollars, fluctuations in national currencies can greatly affect domestic fuel prices.

Regional Fuel Price Analysis: Central Asia and Neighboring Countries

There is notable diversity in fuel prices across Central Asia and nearby states:

- Turkmenistan stands out with an extremely low price of $0.043 per liter, placing 8th globally for cheap fuel.
- Kazakhstan ($0.507) and Azerbaijan ($0.647) also show relatively low prices.
- Russia, despite being a major oil exporter, has a slightly higher price of $0.651 per liter.
- Kyrgyzstan ($0.874), **Belarus ($0.746)**, and **Afghanistan ($0.922)** occupy middle ground.
- Uzbekistan ($0.986) and China ($1.169) show prices approaching the global average.
- Mongolia stands out with the highest price in the region at $1.486 per liter.

This price diversity is explained by differences in economic policies, available resources, and dependence on imports.

CentralasianLIGHT.org
September 6, 2024