Regulator Rejects RECOPE
Price Increase Proposal
In a rarely seen move,
the Autoridad Reguladora
de los Servicios
Públicos (ARESEP) -
regulating authority -
rejeected the latest
gasoline price increase
request made by the
Refinería Costarricense
de Petróleo (RECOPE).
The increase would have
pushed up gasoline
prices another ¢24
colones from their
current high.
The basis of the
increase was due to cost
of a barrel of crude oil
on international
markets. Costa Rica
imports 100% of its fuel
consumption.
The Regulador General,
Fernando Herrero,
explained that the
ARESEP will be looking
to analyze the RECOPE
accounts before it will
grant any more
increases.
Earlier this week the
price of crude oil on
international markets
dropped to below us$130
a barrel, rising to
above us$131 a barrel on
Friday.
Although the Herrero did
not mention the price of
crude oil as a reason,
it could be an
influential factor in
the regulator's
rejection decision. |
