GAS prices could today drop to a three-year low of under $100 per litre following yesterday’s announcement by the state oil refinery of a reduction of over $3 in the ex-refinery price of both the 87 and 90 blends of petrol.

Petrojam says motorists can expect a similar margin of decline for the coming week, which is expected to guarantee that motorists can purchase the more widely popular 87 blend for under 100 per litre at the pumps.

Ex-refinery petrol prices last dipped below the $100 mark in mid-January 2012.

However, Energy Minister Phillip Paulwell is still concerned about lower prices not being reflected at the pumps for the most part. “I do not believe that we are seeing as yet the full pass-through at the pumps. Despite some of the commendable efforts so far, I certainly expect that the price of gasolene should be falling below $100 by now, and I’m urging that this be done,” he told the Jamaica Observer.

A release from the ministry yesterday described what it said is the resistance of some players in the petroleum trade to fully pass on the benefits to motorists as “very troubling and frustrates the goodwill and transparency that must underpin business relationships in a market economy”.

Jamaica Gasolene Retailers’ Association (JGRA) President Leonard Green explained that the full price margin could not be passed on to consumers as there is a margin split between the price at which Petrojam sells to the marketing companies and the price at which the retailers get the product. He noted that prices will vary as the entire retail network is not solely JGRA members, and does not belong to the same marketing companies.