The Executive Secretary of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah, has called on government to reduce some taxes on petroleum products and revive the country’s strategic fuel reserve programme to cushion consumers against rising international fuel prices.
His comments come as projections from the Chamber of Oil Marketing Companies (COMAC) point to a possible increase in fuel prices at retail stations from the next pricing window.
Mr Amoah acknowledged government’s efforts to manage fuel prices through various interventions but said these measures alone may not be enough to protect consumers from fluctuations on the international market.
According to him, government must consider reducing some of the taxes imposed on petroleum products to create room for lower pump prices when international prices rise.
“What government should do is to cut some taxes on the fuel and go back to the strategic reserve programme to ease the system when the international pressure comes,” he said.
He explained that the strategic reserve programme could provide Ghana with a buffer during periods when international oil prices increase, instead of allowing global market developments to immediately translate into higher prices at the pumps.
Mr Amoah said although government had so far done well in managing fuel prices through its interventions, there was the need for longer-term measures to protect consumers from external shocks.
He stressed that a combination of tax reductions and strategic fuel reserves could help the country manage international price pressures and reduce the impact on motorists and businesses.
The COPEC Executive Secretary’s call comes at a time when international oil market developments continue to influence domestic fuel prices, with consumers already concerned about the potential impact of another increase at the pumps.
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