The declining cost of unleaded petrol and automotive diesel oil in the global oil market is among several factors that led to the fuel prices for the month of September remaining unchanged.

Other factors include increased U.S. oil and gas production under pro-energy policies that added more supply, while the expiration of the 1st of August tariff deadline removed extra costs and uncertainties for crude oil trade, both of which put downward pressure on crude prices.

Weaker refinery margins, limited refiners' pricing power and discounted Russian crude also provided cheaper alternatives for buyers, further reducing the cost of petrol and diesel.

The Namibia dollar also strengthened against the US dollar during the review period. 

From the 1st to the 25th of last month, the average exchange rate stood at N$17.70 per USD, reflecting a 0.34% appreciation compared to July's average of N$17.76.

This appreciation cushioned the impact of rising freight costs by slightly lowering the cost of imports in local currency terms, thereby reducing the extent of under-recoveries.

To this end, the Ministry of Industries, Mines and Energy has kept the prices of petrol unchanged at N$20.37 per litre, Diesel 50ppm at N$19.92 per litre and Diesel 10ppm remains at N$20.02 per litre.