Motorists can expect some relief at fuel pumps this week, as petrol prices will drop by one dollar per liter, while both diesel grades will decrease by 50 cents per liter, effective Wednesday.
 
The Ministry of Industries, Mines, and Energy explained that the reductions follow a review of the fuel price for February and reflect lower international oil prices and movements in the exchange rate.
 
It further stated that international crude oil and refined petroleum product prices recorded during January 2026 declined mainly due to an increase in global oil supply by major producers, which outpaced demand.
 
According to the ministry, the average price of petrol for the period from 01 to 23 January this year was US$74.30 per barrel, down from US$77.49 in December.
 
The average price of diesel 50 parts per million (ppm) fell to US$79.44 per barrel from US$81.47, while diesel 10 ppm declined to US$79.48 per barrel from US$81.49.
 
The Namibian dollar averaged 16.41 during the review period, representing an appreciation from the December average of N$16.82.
 
The ministry noted that the pricing model recorded over-recoveries of N$127.48 per liter for petrol, N$80.17 per liter for diesel 50 ppm, and N$89.77 per liter for diesel 10 ppm.
 
This indicates that regulated prices were higher than the costs reflected in the pricing model.
 
The ministry also announced an increase in the dealer margin for service station operators by 14 cents per liter, from N$2.22 per liter to N$2.36 per liter.
 
The ministry said it remains committed to ensuring that fuel prices reflect international market conditions while balancing economic sustainability for consumers and the industry.