Standing Committee discusses gasoline prices
The Standing Committee on Economics heard a report about rising gasoline prices from a working group headed by Deputy Mineral Resources and Energy Minister B.Ariunsan.
B.Ariunsan said the tugrik fell to MNT 1,433 against the dollar last week when Mongol Bank held a foreign currency auction. Due to the falling tugrik, petroleum importers met with representatives of the ministry and proposed raising the price of a liter of gasoline by MNT 300.
S.Byambatsogt said Mongol Bank officials blamed the tugrik’s fall partly on rising gas prices, while the working group said the opposite. He said a liter of gasoline cost MNT 1,200 when the tugrik was MNT 1,450 against the dollar in 2010. Today a liter costs MNT 1,900 and the rate is MNT 1,450, while excise and customs taxes have been cancelled. Besides, he noted, petroleum importers said that if the state would lift the VAT, petroleum prices would be cheaper.
Members of the committee criticized the Consumers Rights Protection Association for failing to do its work when the price of a liter of gasoline increased. They said the association has not done adequate research and studies.
Chief of Mineral Resources and Petroleum Authority D.Amarsaikhan stated that Mongolia has 31,000 tons of petroleum at present. Also, petroleum is being transported from Russia under a 2012 state budget agreement that has allocated MNT 18 billion for reserve fuel.
B.Ariunsan said the tugrik fell to MNT 1,433 against the dollar last week when Mongol Bank held a foreign currency auction. Due to the falling tugrik, petroleum importers met with representatives of the ministry and proposed raising the price of a liter of gasoline by MNT 300.
S.Byambatsogt said Mongol Bank officials blamed the tugrik’s fall partly on rising gas prices, while the working group said the opposite. He said a liter of gasoline cost MNT 1,200 when the tugrik was MNT 1,450 against the dollar in 2010. Today a liter costs MNT 1,900 and the rate is MNT 1,450, while excise and customs taxes have been cancelled. Besides, he noted, petroleum importers said that if the state would lift the VAT, petroleum prices would be cheaper.
Members of the committee criticized the Consumers Rights Protection Association for failing to do its work when the price of a liter of gasoline increased. They said the association has not done adequate research and studies.
Chief of Mineral Resources and Petroleum Authority D.Amarsaikhan stated that Mongolia has 31,000 tons of petroleum at present. Also, petroleum is being transported from Russia under a 2012 state budget agreement that has allocated MNT 18 billion for reserve fuel.
Comments
Post a Comment