2024-09-19 10:19:38
On June 26, 2024, President Daniel Noboa issued Executive Decree 308, which establishes the elimination of the gasoline subsidy.
On June 26, 2024, President Daniel Noboa issued Executive Decree 308, which establishes the price stabilization scheme for low-octane gasoline, Extra and Ecopaís, thereby making the new prices of these fuels official.
Thus, as of June 28, 2024, the Government will eliminate the state subsidy and the price of a gallon of these gasolines will go from USD 2.465 to USD 2.72; this represents an increase of USD 0.26, which will be in effect during July 2024.
And after that, the government will establish a price stabilization system, which will mean that the price can rise by up to 5% a month or fall by up to 10% depending on the variation in the international oil price.
This means that, “if the international price of oil and its derivatives increases significantly, above the ceiling set at 5% over the value of the previous month, the State will assume the cost,” the Presidency explained in a statement on June 26.
He also stressed that the new scheme “does not contemplate a liberalization of the price of these gasolines.” This is Decree 308 with which the measure was made official:
Noboa already issued Executive Decree 306 on June 25, 2024, which provided for the payment of direct financial compensation into bank accounts for 84,000 transporters due to the increase in the price of a gallon of gasoline.
By: PRIMICIAS