The sustained increase in the international price of oil has forced Guatemala to maintain the subsidy on fuels, allowing consumers to pay 38.33 quetzales (approximately $5.02) per gallon of regular gasoline. This price already includes a temporary subsidy of five quetzales (approximately $0.66) authorized by the government.
In a press conference, Erwin Barrios, Deputy Minister of Energy and Mines, explained how this benefit affects the bills of Guatemalans and reiterated the commitment to ensure its proper implementation, following direct instructions from the President.
The President emphasized that the measure aims to protect the financial well-being of families, despite the adverse effects resulting from the international military conflict, which has driven up energy prices worldwide.
According to statements made during the press conference and reported by the media present, Guatemala is on the verge of achieving the most positive levels of country risk classification and has maintained one of the most notable economic growth rates in the region. However, the cost of fuels continues to impact the daily economy.
In the final part of his remarks, Barrios indicated that the price of premium gasoline is currently 39.33 quetzales (approximately $5.16) per gallon, as it includes an additional one quetzal added to the subsidized price of regular gasoline. For diesel, the discount amounts to eight quetzales (approximately $1.05) per gallon, with prices adjusted weekly.
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Guatemala adjusts fuel prices weekly based on the average of international oil prices, following the method of the Ministry of Energy and Mines. (Photograph: Diario de Centroamérica)The sustained increase in international oil prices has forced Guatemala to maintain fuel subsidies, which allows consumers to pay 38.33 quetzals (US$5.02) per gallon of regular gasoline, a figure that already includes the temporary support of five quetzals (US$0.66) authorized by the government. In a press conference, Erwin Barrios, Deputy Minister of Energy and Mines, explained how this benefit impacts Guatemalans' bills and reiterated the commitment to ensure its compliance, following direct instructions from the president. The president emphasized that the measure aims to protect families' finances, despite the adverse effects of the international military conflict, which has raised energy prices worldwide. According to what was expressed in the press conference and reported by the media present, Guatemala is close to achieving the most positive risk country ratings and has maintained one of the most notable economic growth rates in the region, but the cost of fuel continues to impact the daily economy. In the final segment of his remarks, Barrios indicated that the price for premium gasoline is 39.33 quetzals (US$5.16) per gallon, as it includes an additional one quetzal compared to the subsidized regular gasoline. For diesel, the discount is eight quetzals (US$1.05) per gallon, with prices adjusted weekly based on moving averages from the US market. For the current week, Barrios anticipated: "If we close today, we could have a decrease of approximately two quetzals in premium gasoline and two quetzals in diesel. Expectations: at least one quetzal decrease is expected." The calculation is based on the average of the last five days of international prices, a method used by the Ministry of Energy and Mines to determine the local reference price. Guatemala adjusts fuel prices weekly based on the average of international oil prices, following the method of the Ministry of Energy and Mines. (Photograph: Diario de Centroamérica)During the session, Barrios broke down the price structure: the international cost in US dollars is converted to quetzals, and then tolls, freight, insurance, and storage and import costs are added, resulting in a total of 43.33 quetzals (US$5.68) for regular gasoline before the subsidy. The final amount paid by motorists includes the state reduction, and he noted that "it is a high price, but it has a discount of five quetzals." He also stated that this price should be displayed on the signs and receipts of all self-service gas stations. Any deviation from the official price can be reported to the DIACU hotline at 1544. Barrios clarified that the weekly fluctuations are due to global trends: the first week of the subsidy program coincided with a decrease in international prices, resulting in lower local prices. Conversely, the second week, with an international increase of up to 2.5 quetzals (US$0.33) per gallon for regular gasoline and 1.5 quetzals (US$0.20) for diesel, consumers experienced a similar increase at gas stations in Guatemala. For the current week, three out of four days analyzed show a decrease, with one day showing an increase, pending the final data to adjust the prices. The state support for fuel in Guatemala operates through a weekly review adjusted to the trends of the US market, a key source in determining the local price. As explained by Deputy Minister Erwin Barrios in a press conference, the reference price observed by citizens includes the sum of international costs, transportation, storage, and the temporary reduction stipulated by law. This information is published on the signs of gas stations; if any establishment displays a different price, consumers can report it directly to the DIACU hotline at 1544, and the authorities will immediately intervene to verify the situation. President Bernardo Arévalo emphasized that, despite Guatemala's approach to the most favorable investment category in international risk markets, the subsidy policy is essential in the face of rising fuel and other economic pressures on families. The impact of the war abroad, the president declared, affects prices and requires sustained fiscal effort: "The State's ability to intervene in favor of families is an element that can make a difference." Collaboration with the Congress was crucial to implement and maintain the current reduction. This scheme allows for rapid adjustments: in weeks when the international price decreases, the discounts are reflected immediately; in weeks when prices rise, the State partially cushions the impact. For users, understanding the price structure and the subsidy margin is key to identifying deviations or irregularities in billing. For the current week, the expectation is a minimum decrease of one quetzal per gallon, pending confirmation with the international closing.