Rebound of global oil price and introduction of environmental protection tax putting pressure on domestic prices.
The petrol price officially increased at 9pm last night, by a hefty VND2,000 ($0.09) to VND19,230 ($0.8) per liter. The price of diesel and mazut oil remains unchanged.
Prices have been predicted by rise by up to VND3,000 ($0.139) per liter over recent days, as the global oil price recovers and the Ministry of Finance (MoF) and Ministry of Industry and Trade (MoIT) plan to introduce an environmental protection tax.
In early March, however, after submitting a plan to introduce the tax to the National Assembly, Minister of Finance Dinh Tien Dung said it would not affect the domestic retail petrol price. With global oil prices now rising sharply, though, the increase in the tax will see prices go to their highest level ever.
This is the second adjustment of the petrol price this year, after it rose by VND1,600 ($0.7) per liter on March 11.