Local fuel wholesalers are now allowed to take the initiative in proposing price adjustments, the Ministry of Finance said in a document released Friday.
The only requirement is that they have to report their price adjustment proposal to the ministries of finance and of industry and trade.
“In case of a discrepancy between fuel cost prices and retail prices, wholesalers can adjust prices after registering with the two ministries,” the directive stated.
Prices can only be adjusted if the said discrepancy reaches 7 percent.
The ministries will consider wholesalers’ proposals to choose a reasonable solution with regard to fuel import taxes, fees, deduction from the fuel price stabilization fund, and retail prices.
The minimum period between two consecutive price hikes or price cuts is 10 days.
Earlier it is the Finance and Industry and Trade ministries that held the right to adjust fuel retail prices.
They have been criticized many times for refusing to impose price cuts when global prices have fallen sharply.
The country saw the latest fuel price cut on June 21, when oil and petrol prices were slashed by VND300 – 700 a liter. A92 gasoline now fetches VND21,200 a liter.
The import duties slapped on the commodities were also increased on the following day, with gasoline tariff standing at 10 percent, and diesel, 8 percent.