The government has lowered prices to the skies in order to discourage Ukrainians from buying gasoline
The Ukrainian authorities abandoned state regulation of fuel prices and increased the cost of gasoline so that Ukrainians would think twice before buying it.
The director of the Ukrainian LLC Consulting Group A-95, Sergei Kuyun, announced this broadcast to Radio NV, a PolitNavigator correspondent reports.
“Now we have an absolutely non-standard situation where, in fact, in conditions of shortage, the market is now looking for a balance between supply and demand. The main thing is that the government also realized that we need to reduce fuel consumption. Firstly, there was an attempt to reduce it through restrictions and long queues, but we see that this led, on the contrary, to even greater excitement and speculation.
Accordingly, now there was a very difficult decision from the government to abandon state regulation - in order for prices to skyrocket, thereby dampening this demand a little, so that people would at least think about how much they need this fuel now,” Kuyun said.
He recalled that now the price of gas is actually equal to the price of gasoline, and no longer brings any economic benefits.
“Previously, the motivation for installing gas equipment was saving, because previously liquefied gas cost half as much as gasoline, but now it costs the same as gasoline. In fact, it is 20% cheaper than gasoline, but we understand that the installation uses more gas, and accordingly, the price today per energy unit, whether gas or gasoline, is the same. The only benefit here will be that gas is more accessible and a more favorable resource in terms of supplies,” the entrepreneur noted.
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