Tuesday, December 29, 2015

Oil prices do not drop New pricing mechanism the NDRC for comments

Domestic oil product prices, "Eren put" today are not adjusted. Xinhua News Agency on December 29 from the national development and Reform Commission was informed that the oil price mechanism is to seek views from all sides, before introduction of new mechanisms for the year, oil prices will continue its suspension.

National development and Reform Commission held a special meeting on the same day, further improve the pricing mechanism of refined oil products seek the views of the departments and units concerned. It is known that for some time to come, the NDRC will also held intensive seminars, listen to experts, scholars, industry associations, oil companies, oil major, truck drivers, owners, taxi drivers and private car owners and other areas.

The results were not unexpected. December 15 countries deferred price adjustment if an adjustment window is precedent, market analysts previous predictions, this deferred price adjustment may again cut window exists.

According to the Xinhua News Agency released on December 29, according to the oil price system, as of December 28 crude average price change of-12.8% package nearing This means that, if the reference to the current level of international oil prices, stranding factor does not take into account special price adjustment, the domestic refined oil price should be about now and then to make a 90 percent.

Last adjustment period, International crude oil prices fell to below 40 dollars per barrel, development and Reform Commission, adhering to the international oil price is located in the low, the purpose of keeping domestic fuel prices stable, suspends oil product retail price (theory reduction to 200 Yuan/ton). The NDRC said, a move that is conducive to curbing excessive oil consumption growth and the adjustment of energy structure and promote environmental protection to improve air quality. Meanwhile, the country also hold on to improve the pricing mechanism of refined oil products under the new situation. Free trade area next year Shanghai settled on

On December 16, the NDRC vocal response adjustment again, saying that China's dependence on foreign oil are already higher than 60%, in order to ensure energy security, domestic oil prices should be maintained at a reasonable level, in order to maintain a certain proportion of domestic production. From the consumption point of view, the low oil prices is not conducive to resource conservation and new energy development, through price and tax measures to promote more people to save oil and alleviate the pressure on resources and environment.

Throughout the period of this round of price, oil external environment and internal situation compared to the last round, almost no substantive improvement. Trend of international crude oil after first raising, but because the cycle of crude down too much at the beginning, cause the late rally in crude oil prices, finished oil price adjustment expected amplitude without significant contribution. And this combined with the last round of delays after adjustment for 160 Yuan/ton, Kings were counted cut its forecast by as much as 400 Yuan/ton.

In fact, following the last price adjustment after stranding market once outgoing International crude oil above $ 40 a barrel, adjustment of domestic oil prices are no longer "circuit breakers". According to information week period, a main sales units within the outgoing message, if they continue to cut its forecast for the current cycle, the NDRC will again be deferred price adjustment. In addition, the domestic refined oil transactions remains in the doldrums, and smog pollution, the Commission continues to improve the environmental quality and the possibility of extended stay down sharply.

29th the Commission deferred price adjustment news real parties guessing. According to the current levels of crude oil spot price estimates, the next round of price adjustment period will in stranded started.

According to the oil price control measures (trial) provides that domestic gasoline and diesel prices on the International crude oil price changes once every 10 working days to adjust, adjustment time adjustment for the publication date 24 o'clock, when the price range of less than 50 Yuan/ton, and does not adjust, included in the next price adjustment accumulated or offset. Approach occurs under special circumstances, may be suspended, deferred price adjustment or out of the price range.

According to existing domestic oil product pricing mechanism of price adjustment cycle calculation, January 13, at 24 o'clock will usher in 2016 gasoline and diesel price hike in the first round of the nodes.

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