Korean gasoline prices fourth highest in OECD

South Korea’s retail gasoline prices rank fourth highest among the 28 member states of the Organisation for Economic Co-operation and Development (OECD). Based on purchasing power parity as of 2008, Koreans pay higher for their gas. According to the Korea National Oil Corp., using gasoline prices converted into U.S. dollars based on the purchasing power parity (PPP) exchange rate, which reflects commodity prices and purchasing power, the consumer price of gasoline was US$2.459 per liter in 2008. Turkey ranked top with US$3.624 per liter, followed by Poland (US$2.552) and Slovakia (US$2.462). The PPP-based gasoline price in America was US$1.017 per liter, less than half of Korea’s, while that of Japan was US$1.50 in Japan, US$1.82 in Germany and US$1.74 in the United Kingdom. Korea’s high prices, media reports said, were due in large part to the extremely high oil tax and the high price of land for gas stations. (April 7, 2009)