Chilean fuel prices are experiencing a mixed trend over the next three weeks, coinciding with the peak of the summer holiday season. State-owned oil company Enap announced adjustments to prices effective , impacting gasoline, diesel, LPG, and kerosene.
Enap estimates a rise of 13.4 Chilean pesos (CLP) per liter for 93-octane gasoline and 18.2 CLP per liter for 97-octane gasoline. Conversely, diesel prices are set to decrease by 12.3 CLP per liter, as is the price of vehicular LPG, falling by 21.8 CLP per liter. A significant increase is expected for kerosene, with a jump of 67.1%.
Gasoline Prices Rise, Diesel Falls
These price changes, calculated by Enap, will be reflected at the pump starting . This means drivers of diesel vehicles will benefit from lower prices immediately, while gasoline consumers will see an increase.
Fuel Price Changes Effective February 12th:
93-octane Gasoline: +13.4 CLP/liter
97-octane Gasoline: +18.2 CLP/liter
Kerosene (paraffin): +67.1%
Diesel: -12.3 CLP/liter
Vehicular LPG: -21.8 CLP/liter
The price adjustments come after a recent increase in mandatory personal accident insurance (SOAP) costs. A new law, known as the Jacinta Law, has doubled the coverage amounts for SOAP policies. Coverage for death, total permanent disability, and hospital medical expenses has increased from 300 UF (Unidad de Fomento, a Chilean inflation-indexed unit of account) to 600 UF, while coverage for partial permanent disability has risen from 200 UF to 400 UF.
Following a temporary halt in sales while insurance companies updated their policies to comply with the new regulations, several insurers have resumed sales. General SOAP policy prices, excluding preferential rates for certain customers, now start at approximately 8,490 CLP. Motorcycle SOAP policies have seen even more substantial increases, with some rising from 37,890 CLP to 65,480 CLP.
Enap clarified that it does not set or regulate fuel prices directly. Its role is to commercialize hydrocarbon derivatives to distribution companies, which then determine the final retail prices. The calculations are based on import prices of products from the US Gulf Coast, other import-related costs, and the operating rules of the Mepco and Fepp (details of these entities were not provided in the source material).
As of , gasoline (octane-95) was priced at 1202.67 CLP per liter, equivalent to 1.407 USD per liter. Diesel fuel was priced at 940.33 CLP per liter, or 1.10 USD per liter. LPG was priced at 603 CLP per liter (0.706 USD), kerosene at 1049.67 CLP per liter (1.228 USD), and methane at 907.5 CLP per liter (1.062 USD). These prices include all taxes and fees and are updated weekly, according to chile-travel.com.
The current diesel price in Chile is slightly below the global average of 1.19 USD per liter, as reported by GlobalPetrolPrices.com. Diesel prices have decreased by 1.0% over the past month, 2.1% over the past three months, and 5.3% over the past year. The correlation between Chilean diesel prices and crude oil prices is relatively low at 0.39, while the correlation with the USD exchange rate is negative at -0.67, suggesting exchange rate fluctuations have a more significant impact on domestic prices. Price flexibility is rated as high at 0.93, indicating prices respond quickly to market changes.
The price of gasoline in Chile rose to 1.99 USD/Gal on , an increase of 1.26% from the previous day, according to tradingeconomics.com. This data point, however, is expressed in US gallons and may not directly correlate with the CLP/liter figures provided by Enap and chile-travel.com.
These fuel price fluctuations occur against a backdrop of broader economic challenges, including power outages in Cuba, as reported by Havana Times, though the direct connection to the Chilean market is not apparent from the provided sources.
