The National Petroleum Authority, NPA has clarified that the decision to price petroleum products in Ghana is no more the Authority’s responsibility.
According to the NPA, the adjustment of prices of petroleum products by Oil Marketing Companies (OMCs) this week for the 16th – 31st October pricing window and the reaction from some interest groups must remind all stakeholder in the petroleum industry that knowledge of the general public about the tenets of a deregulated industry and its ramifications is very low.
Speaking at NPA Stakeholder Engagement in Downstream Petroleum sector today October 24, 2018, the CEO of NPA Hassan Tampuli Following the implementation of the price deregulation policy in July 2015, the responsibility of setting ex-pump prices of petroleum products shifted from the Authority to petroleum service providers (i.e., Bulk Distribution Companies (BDCs) OMCs).
He added that “the only products whose prices are still determined by the Authority are Residual Fuel Oil (RFO), Premix Fuel, Aviation Turbine Kerosene (ATK), Gasoil Mines, Marine Gasoil Foreign and Gasoil Rig.â€
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Hassan Tampuli also reiterated that, prior to the implementation of the price deregulation policy in July 2015, the Authority was mandated by Regulation 14 of L.I. 2186 to issue to petroleum service providers the petroleum products price build-up which results from the prescribed petroleum pricing formula, and publish same for every pricing window in the Gazette and in at least two newspapers of national circulation.
Post implementation of the price deregulation policy, Regulation 14 of L.I. 2186 (L.I. 2222 as amended) mandates the Authority to publish the price build-up submitted by petroleum service providers for every pricing window on the Authority’s website. This is strictly adhered to and can be accessed via http://www.npa.gov.gh/downloads/indicative-prices.
He, however, hinted that, that prices of Petroleum products in the Ghanaian market will be reduced in the next pricing window.
“The consuming public should rest assured, that the benefits of the falling price of products on the international market as we have observed, will be felt in the next pricing window. As of today, the Ghana Cedi has made some gains against the United States Dollar and the nearly 2% decrease in the price of diesel and petrol as well as the observed 8% decrease in the price of LPG will be passed on to the public through pump prices, all things being equal.â€
Hassan Tampuli’s comments come on the back of the latest hike in fuel prices, the second time in two months.
Checks on Monday, October 22, 2018, indicate that the prices of both petrol and diesel have shot up by about 2.76 percent.
The price of petrol and diesel is currently pegged at GH¢5. 21 per liter, up from the previous price of GH¢5. 07 per liter despite a reduction in the price of crude oil in the international market.