When will Shell gas station fuel prices drop?

The price of Brent crude oil, which had been rising from the beginning of the year until mid-October 2018, had driven up the price of fuel. Shell gas stations were among the most proactive in raising fuel prices, citing the global increase in crude oil prices as the reason. Unfortunately, when the price of Brent crude fell, Shell seemed reluctant to cut its fuel prices. Consumers naturally expected fuel prices to fall immediately, mirroring the swift response of gas stations when oil prices rose.

When Brent crude rose 27% to over US$82/barrel at the end of September, the price of Shell's V-Power (95 Octane) fuel increased by 29% to Rp 12,450/liter. However, when the price of world crude oil fell 27% to US$60.15/barrel, the price of V-Power remained unchanged at Rp 12,450/liter, as shown in the graph below.

V-Power is the Shell fuel type that recorded the largest price increase compared to others, such as Super (92 Octane) and Diesel. The price of Shell's V-Power fuel this year has increased by Rp 2,800/liter (29%) compared to the price at the end of last year. The Super type increased by Rp 1,900/liter (21.23%), and the Diesel type increased by Rp 2,600/liter (27%). Meanwhile, the price of Brent crude oil fell by US$6.72/barrel or 10% from its price at the end of last year of US$66.87/barrel.