Beijing drivers face higher fuel prices

Beijing’s municipal government raised fuel prices in the city Tuesday as inflation worries ease, the South China Morning Post reported. Retail guidance prices for gas were raised by 2.5-2.8%, while the guidance price of standard diesel rose 4.4%. Price increases at the pump are limited to no more than 8% above the guidance prices. The city’s Development and Reform Commission said the move was intended to compensate refiners for the higher costs of producing fuel that meets cleaner vehicle emission standards introduced at the start of the year. The increases had been delayed due to concerns over inflation, which reached a 14-month low of 4.9% in August after reaching 8.7% in February, a 12-year high. Global crude prices have dropped to under US$90 a barrel from the July peak of US$147, allowing state oil firms’ refining operations to become profitable again.