Shell has increased its fuels by 3.8% on average since Wednesday

From this Wednesday, March 15 at midnight, the point on fuel prices for Shell. This is the fourth and final increase provided for in the agreement between the national government and the oil companies. For this reason, the values ​​will experience an increase of 3.8% on average at the national level.

Shortly after the confirmation of inflation data, the Raizen oil, licensee of the Shell brand announced the increase in fuel prices which began to apply from today. The measure put in place is part of the agreement signed last November between companies in the hydrocarbons sector with the Ministry of the Economy. At that time, a cap was set on gasoline increases for a period of four months.

Both in December and in January and February, the increase was 4%, while in March, the increase is 3.8%, as agreed with the Secretary of Commerce. In this way, the price update tries to absorb the increases in biofuels as much as possible, as well as the logistics costs and variations in the official exchange rate that affect the price of the raw materials used for the production of fuels.

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The program called “Fair prices” was considered a positive agreement by the signatory companies, as it allowed them to have predictability in the market and to contain inflation. Companies participated. YPF, Panamerican Energy, Raizen and Trafigurawhich made effective the increase planned for the last four months.

In the agreement signed last year, the State undertook to guarantee access to foreign currencies for companies, in particular for the supply of lubricants. In addition, he agreed to temporarily reduce taxes on fuel imports in order to guarantee the supply of the agricultural sectors.

As part of the agreement established, the Government formalized the decision to postpone the application of fuel tax increases, corresponding to the third and fourth quarters of 2021 and the first, second, third and fourth quarters of 2022, for naphtha unleaded, virgin naphtha and diesel. In this way, the companies had the necessary margin to meet the schedule of agreed increases.

Considering the period of validity, it is estimated that the quarterly update could be carried out from April 1, 2023. Last December, the president of YPF, Pablo González, informed GlobeLiveMedia that after all companies have finalized the last fuel price increase, they will again hold meetings with the national government. For this reason, the program or another agreement could be renegotiated depending on inflationary expectations.

On the other hand, in February, the government moved forward with the reinstatement of an incentive regime for domestic fuel supply. Through Decree 86/2023 published in the Official Gazette, the Executive Power explained that refiners and/or integrated refiners that “have the quality of surplus domestic suppliers of diesel fuel and/or grade naphthas TWO (2) or grade THREE can (3) with respect to their gas oil and/or naphtha production capacity, count on the full utilization of their installed refining capacity and obtain a Mobile Fortnightly Participation in Domestic Supply in diesel and/or gasoline which is not less than their participation on a monthly basis average internal supply of diesel and/or gasoline for the year 2022 in more than ONE PERCENT (1%) “.

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