AMMAN, Jordan, June 18 (UPI) -- Declining global oil prices have produced fuel price cuts in Jordan despite new taxes.
As a result of dropping international oil prices, Jordanian authorities lowered the prices of high octane gas, kerosene and diesel by 5 percent, 6 percent and 9.9 percent respectively, Jordan Times reported on Friday.
Fahed Fayez, president of Jordan's Gas Stations Owners Association, said declining international oil prices would have driven local fuel prices still lower had the government not imposed additional taxes, telling journalists, "According to our calculations, the prices of 90- and 95-percent octane should have dropped by 8-11 per cent."
Fuel prices are a contentious social issue in Jordan, as the country as yet has no producing hydrocarbon resources and consequently must import virtually all of its fuel needs.
Given the country's economic woes, Finance Minister Mohammad Abu Hammour said that Jordan's "national program for financial, economic and social reforms for 2010 and 2013" increased sales tax on oil derivatives from 6 to 18 percent.
