The visit forms part of efforts to strengthen collaboration and knowledge-sharing between the two countries.

According to the NPA, the delegation is in Ghana to understudy the country’s petroleum downstream sector, particularly in areas such as policy administration, regulatory framework, and technical advancements.

Ghana’s NPA has long been recognised as a model institution in the sub-region, with its systems and reforms often serving as a reference point for other African regulators.

The two-member Sierra Leonean delegation includes Wuyah Deen Sucarray, Director of Policy Planning and Coordination at NPRA, and Ms Aminata Margaret Kora, Assistant Manager, Human Resources and Administration.

During the visit, the team is expected to engage with key NPA departments and exchange ideas on best practices.

Mr Tameklo reaffirmed the Authority’s commitment to regional cooperation, noting that such visits strengthen partnerships and promote standardisation in the petroleum sector across West Africa.

He expressed optimism that the engagement would contribute to enhancing Sierra Leone’s regulatory framework while deepening ties between the two agencies.

Source: Ernest Arhinful

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Edudzi Tamekloe expressed his admiration for the achievement of the national armwrestling team, Golden Arms, and emphasised the importance of supporting sports development in Ghana.

He said, “Armwrestling, often considered one of the least financed sports, deserves better recognition and support for the team’s dedication and perseverance in bringing home multiple medals for Ghana in major championships”.

The NPA Boss made these remarks when the Golden Arms paid a courtesy visit to the management of the National Petroleum Authority (NPA) to express gratitude for the support received during the 14th Africa Armwrestling Championship held in Abuja, Nigeria.

The team also took the opportunity to present medals won at the World Armwrestling Championship to the NPA Boss.

Mr Edudzi Tamakloe expressed his enthusiasm at joining hands to support the Ghana Armwrestling Federation in its participation at the Africa Championship that culminated in an outstanding show at the World Championships.

“I was happy when you called back with the indication that you have become giants out of the little we have been doing to help you win three medals at the World Championships. This is an indication that lesser-known sports are gradually developing in Ghana,” he said.

He further congratulated the team for their fierce performance to secure two silver and a bronze medal at the world stage.

The Chief Executive Officer urged the champions not to rest on their laurels, but rather maintain discipline and push themselves further to reach greater heights.

“With the record you will set, people will be struggling to get there, so I urge you to keep fighting, and the sky cannot be your limit,” he added.

He showered praises on Mr Charles Osei Asibey for his sustained effort, commitment and investment in armwrestling, which has significantly contributed to the sport’s growth in Ghana and beyond..

President of the Ghana Armwrestling Federation, Mr Charles Osei Asibey, said the visit was to show appreciation to NPA for supporting Ghana’s participation in the Africa Championship, which was later extended to the World Armwrestling Championship.

Ghana’s Golden Arms, who earlier in the year won 55 medals, made history at the World Armwrestling event with an impressive haul of two silver medals and one bronze. courtesy Mabel Yeboah and Blessed Abeka Nunoo.

He noted that the support contributed to the athletes’ training and preparation, hence boosting their momentum and performance at the competition.

The Golden Arms, on return from the World Championship, is now focused on the 2026 Africa Armwrestling Championship to be hosted in Accra and the 2027 African Games in Egypt.

Present at the meeting were Mr Richard Akpokavie, President of the Ghana Olympic Committee, Mr Husseini Addy, Technical Director of the Ghana Armwrestling Federation, and Mr Kenneth Odeng Adade.

The meeting brought together key players in Ghana’s petroleum downstream industry to provide input and feedback on the bill.

The forum was held under the auspices of the Ministry of Energy and Green Transition and chaired by the Minister for Energy and Green Transition, John Abdulai Jinapor.

He was joined by his deputy, Richard Gyan-Mensah, and other ministry officials.

Once enacted, the draft bill is expected to strengthen the regulatory and operational frameworks of the petroleum downstream sector, while promoting greater efficiency, transparency, and accountability.

Stakeholders at the forum were invited to share their perspectives to help refine the legislation.

The NPA emphasised that the engagement reflects its commitment to inclusive policymaking, ensuring that industry concerns and contributions are adequately addressed before the draft bill is finalised and submitted to Parliament.

Source: Ernest K. Arhinful  

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The proposed Consumer and Public Complaints Procedure Guidelines (CPCPG), developed by an 11-member working group sanctioned by the Authority, seeks to establish a standardised framework for addressing consumer grievances while enhancing service delivery across the industry.

Held on Tuesday, 22nd July 2025, the session brought together representatives from prominent industry and consumer-focused organisations. It was chaired by Mr Awuku Larbi, Esq., head of the Working Group responsible for drafting the guidelines.

Participating institutions included CUTS International, the Africa Centre for Energy Policy (ACEP), the Ghana Private Road Transport Union (GPRTU), the Progressive Transport Owners Association (PROTOA), and the Ghana Online Drivers Union, which represents drivers on platforms such as Bolt, Yango, Shaxi, and Uber.

The engagement provided an opportunity for stakeholders to scrutinise the draft document, offer feedback, and submit recommendations to ensure the final guidelines are comprehensive and responsive to the expectations of all parties involved.

The final consultation is scheduled for Tuesday, 29th July 2025, and will feature entities such as the Ghana Bar Association (GBA), Toyota Ghana, Japan Motors, CFAO Group, and the Chamber of Bulk Oil Distributors (CBOD).

According to the NPA, these stakeholder engagements are essential in shaping a robust and inclusive complaints resolution mechanism that safeguards consumer rights and reinforces accountability in the sector.

The CPCPG initiative aligns with the Authority’s wider mandate to foster transparency, consumer satisfaction, and responsible practices throughout Ghana’s petroleum industry.

Source: myjoyonline

Speaking on Asempa FM’s Ekosii Sen, Mr. Nsia alleged that the NPA receives over GH₵10 billion annually and often disburses funds through the Unified Petroleum Price Fund (UPPF) in excess, creating opportunities for wasteful expenditure.

“The NPA receives free money every year. Without reforms, every CEO is likely to engage in corruption. If we audit the NPA properly, many may end up behind bars,” he cautioned.

He further claimed that former NPA CEO, Dr. Mustapha Abdul-Hamid, may have embarked on more than 100 international trips during his tenure for conferences, yet there was little impact on the sector to show for it.

His comments come in the wake of 25 charges filed by the Office of the Special Prosecutor (OSP) against Dr. Abdul-Hamid and six others. The charges include extortion by a public officer, conspiracy to commit money laundering, and money laundering involving over GH₵280 million.

The case is expected to be heard at the High Court in Accra as concerns mount over transparency in Ghana’s petroleum regulatory sector.

Watch the video below:

Source: Farida Seidu| Adomonline

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This was captured in the National Petroleum Authority’s (NPA) Oil Marketing Companies Performance Statistics from January to May 2025, seen by JoyBusiness.

Star Oil has now overtaken state-owned company GOIL, which for years held the title of market leader in petroleum sales across the country.

While Star Oil has occasionally led the market in select months in the past, the latest figures suggest the company is now firmly cementing its dominance in the sector.

Market Performance Breakdown

From January to May 2025, Star Oil sold a total of 336.3 million litres of petroleum products. Data on its half-year performance shows it sold 403 million litres, broken down as follows:

• Petrol – 193.9 million litres

• Diesel – 139.3 million litres

• LPG – 3.1 million litres

In comparison, GOIL sold 271.3 million litres during the same period:

• Petrol – 156 million litres

• Diesel – 111 million litres

• LPG – 3.6 million litres

Other key players’ sales figures from January to May 2025 include:

• Vivo Energy (Shell): 206 million litres

  • Petrol – 110 million litres

  • Diesel – 96 million litres

• TotalEnergies: 149 million litres

  • Petrol – 71 million litres

  • Diesel – 75 million litres

  • LPG – 2.3 million litres

• Zen Petroleum: 82 million litres

  • Petrol – 46 million litres

  • Diesel – 42 million litres

Additional performance data shows rising competition:

• Moari Oil: 85 million litres

• Benab Oil: 77 million litres

• Frimps Oil: 56 million litres

Industry Rankings (Jan–May 2025)

1. Star Oil

2. GOIL

3. Vivo Energy (Shell)

4. TotalEnergies

5. Zen Petroleum

In total, over 2.4 billion litres of petroleum products were sold by more than 200 oil marketing firms nationwide within the first five months of the year.

Star Oil’s Financial Performance

According to its published financials for the first half of 2025, Star Oil paid GH¢1.1 billion in taxes to the government.

The company also reported employing 2,546 direct staff and operating 240 fuel stations across the country.

Source: JoyBusiness

Earlier this month, a reported attack by armed robbers on the Kansaworodo branch of the Total fuel station in Sekondi-Takoradi highlighted the need for enhanced security. The robbers, who arrived masked at dawn, were unable to access the safe due to the manager being absent at the time of the attack.

The Eastern Regional Minister, Rita Akosua Adjei Awatey, expressed her full support for the NPA’s initiatives and assured that the Regional Coordinating Council (RCC) would cooperate to ensure the NPA’s efforts are successful in the Eastern Region.

She suggested integrating the Regional Security Council (REGSEC) into the NPA’s operations across all regions to bolster security and improve collaboration.

The meeting concluded with a call for deeper cooperation between the NPA, security agencies, and regional authorities to strengthen safety, enforcement, and regulatory compliance in the petroleum industry.

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According to him, the Authority would be tough with its mandate to ensure that the transportation and sale of fuel were carried out lawfully.

Speaking at a meeting with Bono Regional Security Council (REGSEC) during his familiarisation tour in the region, the NPA Boss enumerated fuel smuggling, selling of adulterated fuels, operating with an expired license, and operating without proper safety standards as some of the illegal fuel trading.

Mr Tameklo pleaded with regional ministers across the country to abstain from intervening on behalf of unscrupulous fuel traders.

He stated that there was the tendency for people to hide behind political parties to try and induce officials of the NPA to engage in illegal activities; a practice he said would not be countenanced.

“We must support President Mahama’s agenda of reseting the economy for growth and prosperity for all.

“If you plead on behalf of these criminals who are not playing by the rules at the expense of the reset agenda, who will you call when you buy bad fuel in your car?” he quipped.

The NPA CEO indicated that collaborative efforts by the NPA, National Security and other security agencies had helped to drastically reduce the menace of supply leakages such as export dumping in the country.

In his remarks, the Bono Regional Minister, Joseph Addae Akwaboah assured the NPA of the support of the regional security council.

“I assured you of the Bono REGSEC support that we are here to serve, and we can have a good collaboration with NPA to curb the future occurrence of such illegalities” the Regional Minister assured.

The meeting with the Bono Regional Security Council was part of a three-day tour by the Chief Executive of NPA to the Bono and Ashanti regions to familiarize himself with some petroleum installations.

The Chief Executive and Management of the Authority, on Wednesday, made the first stop at the Bono Regional Coordinating Council and  paid a courtesy call on the Omanhene  of Sunyani to court his support in dealing with fuel supply and export challenges in the region.

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Speaking at the Downstream Dialogue 2025 organized by the Chamber of Oil Marketing Companies (COMAC) in Accra, NPA Chief Executive Godwin Kudzo Tameklo stated that the initial phase may include deploying automated dispensers at selected retail outlets and ensuring continuous operations at bulk storage facilities and depots.

He emphasized that the initiative aligns with President John Mahama’s vision of a 24-hour economy to drive economic growth and job creation.

“Since assuming office, I have stressed the importance of affordability, quality, and reliability in petroleum product supply. Our goal is to ensure fair pricing and strict adherence to industry standards while implementing 24-hour economy solutions,” he said.

Mr. Tameklo called for strong collaboration among industry players, government agencies, and international partners to transform the sector.

“We must reaffirm our commitment to excellence, transparency, and innovation. Together, we can address challenges and seize opportunities to make Ghana’s petroleum downstream industry a key contributor to national prosperity,” he added.

Reflecting on the NPA’s 20-year journey, he noted significant progress in pricing regulations, supply chain management, and infrastructure development. However, challenges such as illegal imports, credit opacity, distribution inefficiencies, and infrastructure surplus remain.

He also highlighted the need for the sector to adapt to global climate change mitigation efforts and the risk of fossil fuel asset stranding.

“The industry must strike a balance between ensuring energy security—availability, accessibility, and affordability—while aligning with the global energy transition,” he added.

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This directive mandates Oil Marketing Companies (OMCs) and LPG Marketing Companies (LPGMCs) to adhere strictly to the minimum pricing structure.

The new prices set the floor at GH₵12.56 per litre for petrol, GH₵13.45 per litre for diesel, and GH₵14.26 per kilogram for LPG. Companies that fail to comply with these minimum prices will face potential regulatory sanctions.

This move is in line with the Petroleum Pricing Guidelines and aims to maintain stability in the downstream sector.

However, the new price floors do not consider premiums charged by International Oil Trading Companies (IOTCs), the operating margins of Bulk Import, Distribution, and Export Companies (BIDECs), or the marketing and dealer margins of OMCs and LPGMCs.

These cost components will continue to be independently determined under Ghana’s price deregulation policy.

By enforcing this price floor, the NPA seeks to prevent price undercutting among industry players, which could destabilize the market.

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His statement comes after Special Prosecutor Kissi Agyebeng announced on Wednesday, February 12, 2025, that Abdul-Hamid and three others are under investigation for suspected financial mismanagement involving the petroleum fund.

The UPPF, a critical mechanism in Ghana’s petroleum sector, is designed to ensure uniform fuel pricing nationwide by covering transportation costs for oil marketing companies.

In response to the allegations, Abdul-Hamid took to social media to clarify that he had not received any official summons or invitation from the OSP but expressed his readiness to assist in any investigations.

“My attention has been drawn to an announcement by the Special Prosecutor that I am under investigation for alleged embezzlement of funds at the Unified Petroleum Pricing Fund (UPPF) during my tenure as NPA CEO. As of this afternoon, I have not been invited by any state investigative body. However, I am willing to avail myself for any investigations into the alleged misappropriation,” he stated.

The OSP’s probe also targets Jacob Amoah, the UPPF Coordinator, and two NPA staff members, Wendy Ashong Newman and Freda Tandoh.

The allegations suggest significant funds may have been mismanaged during Abdul-Hamid’s tenure, raising concerns about financial accountability within the petroleum sector.

See the post below:

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The development means that no oil marketing company should be selling below the price quotes.

The NPA in the notice to the Oil Marketing Companies (OMCs) and Liquefied Petroleum Gas (LPG) marketers advised all the players to comply with the above price floors for the window.

It added that the price floors exclude the premiums charged by International Oil Trading Companies (IOTCs) and the operating margins of BIDECs, as well as the Marketers’ and Dealers’ Margins of OMCs/LPGMCs.

These will be independently determined by the companies as pertains under the Price Deregulation Policy.

The NPA introduced the price floor mechanism to check price undercutting in the industry. It stated that the practice if not checked could threaten the stability of the industry.

The NPA recently announced it has suspended the Price Floor programme for the Bulk Oil Distribution Companies.

This was based on some concerns expressed by the players in that sector. However, it is still going ahead with the programmme for the oil marketing companies .

The programme has faced some criticism from some players in the industry, who have described the policy as anti-free market programme.

The NPA insists the roll out of the price floor policy was based on industry consultation and recommendation by players on what steps must be taken to deal with price undercutting.

Source: Joy Business

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The Authority explained that, a temporary power issue at the Ghana National Gas Processing Plant in Atuabo, which supplies LPG to the Western and Central Regions, led to a brief disruption in LPG processing.

In response, the NPA directed LPG Marketing Companies (LPGMCs) to load supplies from Tema to cover retail outlets in affected areas.

As of October 8, 2024, the power issue at Atuabo has been resolved, although the plant is expected to return to full production by October 15, 2024.

Despite this temporary disruption, the NPA emphasized that Ghana has enough LPG in stock to cover nearly two weeks of national consumption. Furthermore, the Sentuo Oil Refinery continues to produce LPG daily, adding to the supply.

An additional 20,000 metric tonnes of LPG are scheduled to arrive between October 21 and October 27 under the LPG Tender program, further ensuring supply.

The NPA also addressed a boycott by some LPG Marketing Companies against the Quantum LPG Terminal and Tema Multi-Product Terminal, which has placed added pressure on the remaining depots.

However, the NPA reassured the public that efforts are being made to prioritize LPG distribution to the Western Region, where the shortage concerns initially arose.

The authority will continue to collaborate with the Ghana National Gas Company to monitor the situation and provide timely updates regarding LPG production and supply.

According to the Authority, it does not anticipate any shortage, hence is no need for fear and panic.

“There is adequate LPG in the country to meet national demand. The opening stock of LPG as of 9th October 2024 was enough to last almost two weeks of national consumption. In addition to this, the Sentuo Oil Refinery is also producing LPG, which serves the market daily” a statement released by the NPA said.

It added that more than 20,000 metric tonnes of LPG are scheduled to be delivered between the 21st and 27th of October 2024 under the LPG Tender programme.

Giving some reasons for the recent shortage in supply, the NPA said the Western and parts of the Central Region which are supplied with LPG from the Ghana National Gas Processing Plant in Atuabo encountered some challenges.

It explained that a recent power challenge that affected the processing of natural gas from which LPG is derived affected the supply of LPG from the plant.

Due to the situation, the NPA said it directed LPG Marketing Companies (LPGMCs) to load LPG from Tema to serve their retail outlets in those parts of the country.

“Checks with the Ghana National Gas Company (GNGC) on 8th October 2024 indicated that the power challenge has been resolved. However, the Gas Processing Plant has yet to return to full production. The plant is expected to return to regular production from 15th October 2024 onwards”, the statement assured.

According to the NPA, the boycott of the Quantum LPG Terminal and Tema Multi-Product Terminal by some Liquefied Petroleum Gas Marketing Companies (LPGMCs) has put pressure on the remaining depots in Tema.

It regretted that the refusal of the LPGMCs to load from these depots limits the volume of LPG that can be loaded from the Tema depots in a day.

“The Authority wishes to reassure the public that there is no threat to the supply of LPG in the country and no imminent shortage of the product. The Authority is working closely with all parties to ensure that loading to the Western Region is prioritised to address the challenge in that area”.

Source: Joy Business

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In a press release, the associations expressed deep concern over what they perceive as the NPA’s unfair treatment of indigenous LPG businesses.

They argued that the NPA’s decision to exclude them from the final implementation phase of the CRM, while allegedly favouring foreign and semi-foreign companies, threatens the livelihoods of thousands of Ghanaians.

“If cooperation in our regulator’s view means we allow an industry built by indigenous Ghanaians to be handed over to foreign and semi-foreign companies, then we cannot cooperate,” they stated.

They emphasized that such actions could not only destroy over $400 million in investments made by local businesses but also result in massive job losses, potentially leaving more than 10,000 Ghanaians unemployed.

The groups criticized the NPA for its lack of transparency and consultation, citing that reports from CRM pilot projects, conducted at stations voluntarily surrendered by their members, have not been shared with industry stakeholders.

The Associations concluded by urging the NPA to adopt a more equitable approach, ensuring that all players in the LPG industry, including traditional LPG marketers, are treated fairly as the CRM is rolled out.

Read the statement below:

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The Liquefied Petroleum Gas (LPG) Marketers Association has assured the public that there will be no shortage of LPG despite their decision to boycott lifting gas from certain Bulk Oil Distributing Companies (BDCs).

The Vice President of the Association, Gabriel Kumi, explained that their members continue to lift gas from numerous other BDCs across the country.

“We have no issue with lifting LPG from the Atuabo Gas Processing Plant, but as for the depots in Tema, we have made it clear that we will not do business with them, and our stance remains unchanged. There are plenty of other BDCs—about six or seven—that are supplying LPG. Since our boycott began on August 12th, there has been ample LPG available for everyone,” he stated.

He emphasized that there is no shortage of LPG in the market, dismissing any concerns that the boycott of the two Tema depots would lead to a nationwide shortage.

“No one should be misled into thinking that our boycott of these two Tema depots will create a shortage. That simply will not happen,” he assured.

Mr Kumi also pointed out that, the recent start of production at the Sentuo Refinery will further boost LPG supply, reassuring Ghanaians that there is no cause for concern.

“We have made significant investments in this industry, and we will not take any action that would jeopardize these investments,” he added.

Additionally, Mr Kumi urged the National Petroleum Authority (NPA) to take its regulatory role more seriously.

“We have never stated that we would stop lifting gas from Sage Petroleum at Atuabo. Our letter specifically mentioned the Tema depots. The time for us to return to Atuabo isn’t until August 26th, so why is the NPA’s Head of Regulation, Obed Boachie, making premature statements? This kind of propaganda from the regulator needs to stop. We expect more seriousness in their approach,” he concluded.

Source: Adomonline

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In a statement issued by the Associations, they expressed deep concern over Abdul-Kudus’s recent remarks on Accra-based Adom FM, where he claimed that the government’s Cylinder Recirculation Model (CRM) was designed to eliminate cheating at LPG refill stations.

The Associations argue that these comments are misleading and serve to unjustly pit consumers against operators within the LPG sub-sector.

The LPG Marketers Association and GLIPOA emphasized that the CRM policy, introduced by the government to improve access to LPG by 50% by 2030, has nothing to do with allegations of cheating.

“If today he is stating the main objective is to eliminate cheating then the government and NPA have lied to all stakeholders,” they stated.

The associations pointed out that the Ghana Standard Authority (GSA), which is responsible for standardization and calibration, conducts regular inspections of the over 768 LPG refill stations nationwide.

They assert that there has been no report from the GSA indicating malpractice or cheating by these stations and challenge Abdul-Kudus to provide any evidence to support his claims.

The associations defended the integrity of the LPG sector, noting that each LPG station is equipped with calibrated and certified dispensers and weighing scales, inspected regularly by the GSA.

“Any customer who visits an LPG Retail Station can see for themselves the quantity of product dispensed into their cylinders. Also, for purposes of verifying the quantity dispensed, the cylinder can be weighed right in the presence of the customer,” the statement clarified.

In light of these facts, the LPG Marketers Association and GLIPOA are demanding a retraction of the statement made by Abdul-Kudus and a formal apology to both the Ghana Standard Authority and the owners of LPG refill stations.

While reiterating their support for the government’s CRM policy, the associations called for a level playing field for all stakeholders involved.

They urged the media to address what they described as misinformation spread by the NPA, stressing their commitment to protecting the reputation and interests of their members.

Read the attached statement below:

 PRESS RELEASE BY THE LPG MARKETERS’ ASSOCIATION AND GHANA LPG OPERATORS ASSOCIATION (GLIPOA)

RE: ‘CRM to eliminate cheating at the filling stations’ – Mohammed Abdul-Kudus of the NPA

On Tuesday 20^th August 2024, Mr Mohammed Abdul-Kudus, the Communications Manager of NPA, during an appearance on Accra-based Adom FM made the above statement in regard to the Government’s Cylinder Recirculation Model Policy.

The LPG Marketers Association and other stakeholders over the last couple of weeks have observed the National Petroleum Authority (NPA), the regulator for the downstream Petroleum sector officials making various allegations against the very sub-sector that has helped to increase consumption of LPG from 5,000Kg per annum in the 1990s to over 300,000,000kg as at end of 2023. These statements are unfortunate and deliberate to kick the consumers against the operators of LPG Refill stations.

In the first place Mr. Mohammed Abdul-Kudus as the Communication Manager knows that the Government’s Policy on CRM has nothing to do with cheating at the LPG Refill Stations. The CRM policy was introduced as part of the government’s plans to improve access to LPG by 50% by 2030. If today he is stating the main objective is to eliminate cheating then the government and NPA has lied to all stakeholders. His statement is unfortunate and upfront to Government Agency such as the Ghana Standard Authority (GSA).

The Ghana Standard Authority (GSA) is clothed with Standardisation and Calibration powers per the Act 1078. The GSA, on quarterly basis subject the over 768 LPG Refill Stations in Ghana to periodic inspection. The Association is not aware of any report from the GSA indicating that operators of LPG Refill stations are cheating the discerning customers. Mr Mohammed Abdul-Kudus must tell the whole world where he cited such a report.

Per the current operations of LPG stations which are open to the general public it is mind boggling for Mr Mohammed Abdul-Kudus, the Communications Manager of NPA to make such a statement on a radio station. Each LPG Retail station has Dispensers and Weighing Scales that are calibrated and certified by GSA and inspected regularly. Any customer who visits an LPG Retail Station can see for themselves the quantity of product dispensed into their cylinders. Also, for purposes of verifying the quantity dispensed the cylinder can be weighed right in the presence of the customer. If in the presence of a customer, the LPG Refill stations are cheating then what confidence should the customer have when a filled cylinder is sold to them from elsewhere?

The operators in the LPG Sub-Sector are law abiding persons with high level of integrity. The players have always placed the needs of the customer at the heart of every decision making. The LPG Sector has remained one of the least profitable sub-sector in the country.  Margins for operators for products lifted from BIDEC has remained the same for over 7years because we do not want the customer to suffer due to high prices of LPG.  Meanwhile within the same period, Government’s Levies, Taxes and NPA Margins have all be increased in many folds.

Lastly, the members of the LPG Marketers and the Dealers are not against the Government Policy on CRM. Rather, we demand a level playing ground for all stakeholders.

We therefore demand that Mr Mohammed Abdul-Kudus, the Communications Manager of the NPA, to retract the said statement and apologise to the Ghana Standard Authority and the owners of LPG Refill Stations.

By the:

LPG Marketing Companies Association of Ghana (LPGMC)

Ghana LPG Operators Association (GLIPGOA)

To: All Media Organisations

Source: Adomonline

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It follows the inability of the firms to settle debts owed industry regulators like the NPA, Ghana Revenue Authority and the Bulk Oil Storage and Transportation Company.

The funds are said to be running into more than US$200 million.

These are monies that have been collected as levies, and margins on petroleum products sold, but the companies have failed to remit the funds to the appropriate state institutions.

The Chief Executive of the Association of Oil Marketing Companies, Riverson Oppong who disclosed this to Joy Business in an interview encouraged the NPA to go after the directors of the companies.

He cautioned that the industry is a sensitive one that must be scrutinized to ensure that all parties obey the rules and regulations.

“The details of the directors of these companies are with the NPA. Before any company is issued a license the NPA demands the names of the directors of the company. These names should be made public”, he said stressing that such an action will remove bad operators from the industry.

He disclosed that some of the debts are deliberately accrued, since some of the directors of the OMCs in debt are running other OMCs in the industry.

“These same directors who established the OMCs and have accrued this debts do have other OMCs running in their names. The question is why would the directors of the companies in debt have other OMCs in the system run in their names”, he queried.

Mr. Oppong announced that there are measures put in place to avoid such debts from rising.

Source: Joy Business

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In a statement issued by the Associations, they expressed deep concern over Abdul-Kudus’s recent comment on Adom FM, where he claimed that the government’s Cylinder Recirculation Model (CRM) was designed to eliminate cheating at LPG refill stations.

The Associations argue that these comments are misleading and serve to unjustly pit consumers against operators within the LPG sub-sector.

The LPG Marketers Association and GLIPOA stated that the CRM policy, introduced by the government to improve access to LPG by 50% by 2030, has nothing to do with allegations of cheating.

“If today he is stating the main objective is to eliminate cheating then the government and NPA have lied to all stakeholders,” they stated.

The Associations pointed out that the Ghana Standard Authority (GSA), which is responsible for standardization and calibration, conducts regular inspections of the over 768 LPG refill stations nationwide.

They said there has been no report from the GSA indicating malpractice or cheating by these stations and challenged Abdul-Kudus to provide any evidence to support his claims.

The Associations defended the integrity of the LPG sector, noting that each LPG station is equipped with calibrated and certified dispensers and weighing scales, inspected regularly by the GSA.

“Any customer who visits an LPG Retail Station can see for themselves the quantity of product dispensed into their cylinders. Also, for purposes of verifying the quantity dispensed, the cylinder can be weighed right in the presence of the customer,” the statement clarified.

In light of these facts, the LPG Marketers Association and GLIPOA are demanding a retraction of the statement made by Abdul-Kudus and a formal apology to both the Ghana Standard Authority and the owners of LPG refill stations.

While reiterating their support for the government’s CRM policy, the associations called for a level playing field for all stakeholders involved.

They urged the media to address what they described as misinformation spread by the NPA, stressing their commitment to protecting the reputation and interests of their members.

Source: Raymond Acquah

This adds to the already existing countries; Mali, Niger, Burkina Faso, Cote D’ Ivoire and Togo importing petroleum products from the country.

In the year 2023, the volume of Petroleum products re-exported and transited to these neighbouring counties amounted to 385,154, 100 litres.

Delivering his welcome address at the Ghana International Petroleum Conference (GhiPCon), on the theme: “The Petroleum Industry:  Building a Future for Growth, Efficiency, and Sustainability”, Dr Mustapha Abdul- Hamid said the increase in the volume of exports was proof  of NPA’s outstanding successes in it effort to curb illicit fuel activities in the country.

Currently, the industry has registered over 3000 service providers with high local participation, that deliver over four million metric tonnes of petroleum products annually, for both Ghana and beyond.

The development has positioned the industry to become a key contributor to the growth of Ghana’s gross domestic product (GDP).

“We estimate that the sector had a monetary value of over Ghc 71 billion, representing about 84% of the country’s 2023 GDP. In the past seven years the industry returned an average annual value of over Ghc 35  billion”, he said.

The NPA said that given the dynamic nature of the downstream petroleum industry, NPA was committed to using technology and innovation to remain relevant in the sub-region by formulating and implementing innovative strategies and policies that would ensure that the industry remains efficient and profitable and at the same time ensure consumers get the best value for money.

He said, with the new transparent automatic price adjustment formular, pricing had gradually been reformed from an annual regulated price with unpaid subsidies to bi-weekly and daily regulated.

The NPA Boss stressed that the Authority had declared zero tolerance for toxic fuel, and as such Ghana, Kenya, Tanzania,  Uganda, and Morocco presently consume low sulphur fuels with typical import at less than 50 ppm, with a roadmap for local refineries to comply.

Dr Abdul -Hamid noted that the NPA had rolled out technology-based schemes and projects such as the petroleum marking scheme, bulk road vehicle tracking project, electronic cargo tracking system, and the enterprise relational database management software to efficiently monitor and ensure the integrity of the quality and quantity of petroleum product delivered to consumers.

Meanwhile, the Minister of Energy, who read a speech on behalf of the guest of honour, Vice President Dr Mahamadu Bawumia, applauded the National Petroleum Authority NPA for how it strategically managed the “Gold for oil” program and now the Cylinder recirculation model CRM in a manner that has boosted investors confidence in the sector.

According to him, these efforts, coupled with a robust policy framework, have incentivised the private sector to invest more and contribute significantly towards realising Ghana’s policy target of 50% LPG penetration by 2030.

He challenged NPA to continue to invest in infrastructure, leverage cutting-edge technology, and enhance our supply chain resilience to secure our energy future.

He said with the  geopolitical tensions to technological advancements and environmental concerns, “our strategies must be robust, innovative, and adaptable.”

He also assured the government commitment to continue to promote and explore policies that enhance Ghanaian content, support capacity building, and create opportunities for the Ghanaian people.

This he believes can guarantee that the benefits of our resources are widely shared while ensuring the development of our local workforce and businesses.

Dr. Kokofu praised President Akufo-Addo’s government for its commitment to climate action and sustainable development, citing the establishment of the Ministry of Environment, Science, Technology and Innovation (MESTI) as a key milestone.

“The mainstreaming of climate financing instruments into our economy is a testament to the government’s dedication to addressing the climate crisis,” he said.

“Ghana has made significant strides in transitioning to a climate-resilient economy, and we are proud to be part of this global effort.”

Speaking in an interview with GBC, Dr Henry Kwabena Kokofu, said during President Akufo Addo’s tenure as the chair of the Climate Vulnerable Forum, which began in Glasgow, the country made swift progress under the leadership of our former Finance Minister, who chaired the V20 group of Finance Ministers.

V20 group, is a group of Finance Ministers of the Climate Vulnerable Forum, to identify common attributes among member countries and explore ways to integrate climate financing instruments into their economies.

The V20 platform provided a unique opportunity for countries to learn from each other and develop tailored approaches to address their specific climate challenges”, he said.

Dr Kokofu, an expert in environmental policy and climate change, emphasized that the V20 played a crucial role in bringing together Finance Ministers from various countries to share knowledge and best practices in climate financing.

“Our former Finance Minister, Ken Ofori-Atta, did an excellent job of harnessing the collective expertise of V20 to develop innovative solutions for climate resilience and sustainable development.

As a result of these efforts, Ghana has successfully developed the Climate Prosperity Plan (CPP), a groundbreaking initiative that has also been adopted by countries like Bangladesh and Sri Lanka”, he said.

“The Climate Prosperity Plan represents a turning point in our post-COVID economic recovery, as it recognises the crucial role of the climate economy in driving growth and development,” Dr. Kokofu explained.

Adding, that the plan outlines a comprehensive framework for transitioning to a climate-resilient economy, with a focus on bankable investments in key sectors such as energy, education, health, agriculture, forestry, and environment.

Dr. Kokofu highlighted the significance of the CPP, noting that it has the potential to attract private capital and mobilize resources for climate action.

“The CPP is a game-changer for Ghana and other countries, as it provides a clear roadmap for achieving climate prosperity and sustainable development,” he said.

He stressed that the foundation laid by President Akufo-Addo’s government has positioned Ghana for success, and thus, looking forward to benefiting from these initiatives in the years to come.

Looking ahead, Dr. Kokofu emphasised the vast potential of the climate economy, particularly in the context of the African Continental Free Trade Area (AfCFTA).

“Climate economy for finance, jobs, and sustainability – positioning Ghana as the base for capacity building on climate economy for AfCFTA, with a market potential of about $3.3 trillion and a population of 1.32 billion.

The future is indeed exciting,” he said, highlighting the opportunities for Ghana and other African countries to leverage the climate economy for sustainable growth and development.

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This prosecution follows the Attorney’s General appointment of a public prosecutor in respect of criminal actions that arise under the Act.

The Head of the Legal directorate of NPA, Farida Ali-Musah, who made this known during a media engagement at Eusbet Hotel in Sunyani, the capital of the Bono region, said the NPA was established under the Act with the statutory mandate to regulate, monitor and oversee the petroleum downstream industry.

She mentioned the engagement in activities in the downstream industry without a license, misapplication of prescribed petroleum pricing formula, false statements and withholding of material information, and obstruction or interference with officers and employees of the authority.

She stressed they are waging a war on the illegal fuel operators and ‘tabletop’ fuel operators of petroleum products, and the punishment ranges from fines from Ghc2000 upwards to imprisonment of not less than ten years.

Meanwhile, the Bono Regional Manager of the National Petroleum Authority (NPA), Kwadwo Odano Appiah indicated that, they move around monthly with a team known as the ”Quality Assurance Team” to all fuel stations within the country to conduct a test of the fuel being sold to the public to make sure there are no sales of fake fuel products to customers.

He pledged the readiness of the National Petroleum Authority to ensure the sales of quality petroleum products to Ghanaians.

The new regulatory framework, which will have inputs from the Ghana Standards Authority (GSA), the Ghana Highways Authority (GHA), and the Customs Division of the Ghana Revenue Authority (GRA), seeks to streamline the bitumen supply chain and to ensure compliance with National quality standards.

The new framework spells out who qualifies to obtain a license, the National standards for Bitumen and guidelines to follow for the supply of the product among other things.

Director of Economic Regulation and Planning at NPA, Mrs. Alpha Welbeck, who made the disclosure at a media briefing in Accra, urged industry players to use the remaining period of 2023 to regularize their operations with the Authority.

“Existing bitumen facilities and new entrants will have to acquire a license before they will be allowed to operate in the industry beginning 2024” she emphasized.

The bitumen industry possesses enormous potential to contribute to the growth and development of the economy due to its use in road construction.

Although bitumen is a petroleum product, little has been done in terms of monitoring and regulating the product compared to the other petroleum products such as petrol, diesel, LPG etc.

By way of background, in 2014, a study was carried out to ascertain the supply chain practices and to obtain some baseline information of happenings in the bitumen industry.

Following the study, the NPA together with stakeholders such as the GHA, GRA – Customs Division, GSA and some existing players, have collaborated in the development of guidelines for the supply of Bitumen, culminating into a new regulatory framework set to be implemented in January 2024.

A public notice is set to be issued on the requirements for obtaining a license in the coming weeks to enable existing players and new entrants alike to take the necessary steps in regularizing their operations ahead of the 2024 deadline.

They are to pay fines for violating of Unified Petroleum Pricing Fund (UPPF) regulations, making false UPPF representations to the Authority, and engaging in third-party supplies.

Failure by the affected companies to pay the fines will lead to a three-month suspension of their operations.

In the case of Andev Co. Ltd, it will pay a total fine of GHS90,000.00. This comprises GHS10,000.00 for violating UPPF regulations and GHS10,000.00 each for eight (8) counts of making false UPPF representations to the Authority.

Beap Energy is to pay a total fine of GHS20,000.00, comprising GHS10,000.00 for violating UPPF regulations and GHS5,000.00 each for two (2) counts of third-party supplies.

For BF Petroleum, the company will pay a total fine of GHS95,000.00. This constitutes GHS10,000.00 for violating UPPF regulations, GHS5,000.00 each for ten (10) counts of third-party supplies and GHS5,000.00 each for seven (7) counts of lifting petroleum products without cross-zonal authorization.

Anasset Co. Ltd is to pay a total fine of GHS50,000.00. This comprises GHS10,000.00 for violating UPPF regulations, GHS10,000.00 each for four (4) counts of making false UPPF representations to the Authority.

Another company, Cost Energy is to pay a total fine of GHS 665,000.00, comprising GHS10,000.00 for engaging in third-party supplies and GHS5,000.00 each for one hundred and thirty-one (131) counts of third-party supplies.

Compass Oleum Ltd will pay a total fine of GHS350,000.00. This constitutes GHS10,000.00 for violating UPPF regulations, GHS5,000.00 each for fifteen (15) counts of lifting petroleum products without cross zonal authorization and GHS,5000.00 each for fifty-three (53) counts of engaging in Third Party supplies.

Concord Oil Ltd is to pay a total fine of GHS65,000.00. This comprises GHS10,000.00 for violating UPPF regulations, GHS5,000.00 each for four (4) counts of engaging in third-party supplies and GHS5,000.00 each for seven (7) counts of lifting Petroleum products without cross-zonal authorization.

The NPA cautioned that any company that fails to comply with the approved rules and regulations stipulated by the Authority would be subjected to further sanctions.

The UPPF ensures that prices of petroleum products are the same across the country.

He expressed concern that purchasing fuel from unlicensed or unregulated fuel stations could pose risks to engines.

During a media engagement held by the National Petroleum Authority in Tamale, Mr Dauda explained that they have been actively trying to curtail illegal fuel operators, but it has been a challenging task as these operators keep changing locations.

Mr Dauda advised consumers not to be lured by the cheap rates of low-quality fuel, particularly table top fuel, as it has the potential to damage engines.

At the event, he also educated customers about their rights to report any issues they may encounter at retail outlets to the authority’s customer service department for investigation.

The NPA assured that appropriate action would be taken if the customer’s claim is substantiated, and if the investigation reveals that the customer’s complaint was unfounded, an apology would be expected from the customer.

The head of planning at the National Petroleum Authority, Dominic Aboagye, further informed the media that geopolitical factors such as the Russia-Ukraine war and the depreciation of the cedi against the dollar had affected fuel prices.

However, he emphasised that the NPA’s swift measures had helped prevent the country from experiencing fuel shortages.

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The region had observed an alarming proliferation of these reseller outlets in areas such as Pelungu, Duusi, Gbane Shiega, Tongo, Gaare, Chuchuliga, Bolga Soe, Sirigu, Bongo, Zonno, Namolga, Sakote, Zorko and Kpale, selling petroleum products without authorization from NPA.

Mr Bashiru Natogma, the Upper West Regional Manager of NPA, who made the disclosure to the media in an interview said the NPA Act prohibits any person, other than one licensed under the Act, from being in a possession of a petroleum product in quantities unreasonably in excess of that person’s immediate requirement.  

He said those outlets lacked the necessary safety measures and infrastructure to handle and store petroleum products safely. 

The Regional Manager enumerated that “some of them often operate in close proximity to public spaces, increasing the risk of accidents and fire outbreaks. The absence of proper or adequate fire prevention systems such as firefighting equipment and trained personnel further exacerbates these dangers.”

Mr. Natogma said the operation was to uphold the quality, pricing, and safety in retailing of petroleum products.

He advised the public about the risk associated with purchasing petroleum products from unauthorized reseller outlets and encouraged them to purchase petroleum products from authorized reseller outlets and fuel stations. 

The Regional Boss further cautioned Oil Marketing Companies (OMCs) engaging in this illegal act to desist from it and seek proper guidance to legally operate reseller outlets. 

He warned that OMCs caught supplying petroleum products to these unauthorized reseller outlets will be severely sanctioned by the regulator.

According to the NPA, the naked eye cannot see gas in case of leakage, hence the need to keep cylinders outside to avert fire outbreak.

A member of the NPA Governing Board and Chairman of the Consumer Services sub-committee, Kwami Sefa Kayi, who made the call at an LPG awareness and sensitisation lecture at the Takoradi Technical University, noted that some people do not want to keep their cylinders outside because of the fear that they would be stolen.

“If you have cylinders in any enclosed place, go and bring them out. Don’t complain that it will be stolen,” he urged.

Mr. Sefa Kayi, who is a veteran broadcaster, gave the assurance that  the NPA would do everything to ensure the price of LPG remains competitive and “soft on consumers.”

The lecture organised by the Corporate Affairs and Gas Directorates of the Authority was on the theme: “Safe Use of LPG Protects Lives and Property.”

The sensitisation exercise on the safe use of LPG and the general operations of NPA  involved one-on-one engagements with traders and lectures in educational institutions in the Western and Central regions.

Other institutions visited included the Sekondi Nursing and Midwifery Training College and the Cape Coast Nursing and Midwifery Training College.

Answering a question on NPA’s complaint procedure, the Consumer Services Manager, Eunice Budu Nyarko, urged the public to immediately report  fuel stations suspected of cheating to the Authority.

She said when complaints are made within 48 hours of purchase of fuel, prompt investigations are conducted to establish the facts before the product is sold out.

“Consumers should report within 48 hours. If we delay, we may risk the loss of evidence. Consumers should report  and then we can act immediately,” she said.

However, Mrs. Budu Nyarko said consumers could still report after 48 hours of the purchase of the fuel.

“We will still investigate but that product you bought might have been sold out. So what the NPA does is to keep the station under surveillance, meaning the Authority’s inspectors will be visiting there unannounced  for sometime.

“The NPA will always protect the interest of stakeholders, consumers and petroleum service providers”, she stressed, and announced the customer lines.

In his presentation, Assistant Divisional Fire Officer, David Essuman, cautioned the public against placing stones and heavy materials on valves to supposedly prevent leakage.

He said the heavy materials could not stop the leakage, and indicated that the best thing was for the people to replace the faulty valves.

Welcoming the lecturers and students on behalf of the NPA Chief Executive, Dr. Mustapha Abdul-Hamid, the Communications Manager of NPA, Mohammed Abdul-Kudus, noted that Europeans and Americans depended solely on gas for their domestic activities but they hardly recorded fires.

Therefore, he said, if gas users in Ghana observed the safety tips, they could reduce gas-related fire outbreaks.

The separate operations were led by the Navy and Marine Police between January and April 2023.

The Western Regional Manager of NPA, Mrs Sandra Aidoo, made this known at a media engagement in Takoradi on Thursday.

“We initially confiscated 108,000 litres of diesel on the high seas in January. The smugglers were arrested and are currently standing trial at the law court. The other was in April when 73,000 litres of crude oil was confiscated,” she said.

Mrs Aidoo said the suspected smugglers of the diesel were being prosecuted in court and indicated that the NPA would determine what happens to the product after the final determination of the case.

“For the crude oil, the smugglers bolted, so we have transported the product to Accra, and the public will know what happens to it,” she added.

Mrs Aidoo stated that the activities of the smugglers were affecting the quality of fuel distributed at the pumps since some filling station owners purchase the products at cheap prices at the blind side of the Authority.

“These cases are very rampant in the Western Region, and it is affecting our operations. These products are not taxed, and the smugglers sell them directly to the stations. The quality of such products can not be guaranteed as well, so we should not allow them into the market,” she said.

The media engagement organized by the Communications Department was to highlight NPA’s activities in the petroleum downstream industry and respond to industry-related questions from the media.

“For the crude oil, the smugglers bolted, so we have transported the product to Accra, and the public will know what happens to it,” she added.

Mrs. Aidoo stated that the activities of the smugglers were affecting the quality of fuel distributed at the pumps since some filling station owners purchase the products at cheap prices at the blind side of the Authority.

“These cases are very rampant in the Western Region, and it is affecting our operations. These products are not taxed, and the smugglers sell them directly to the stations. The quality of such products can not be guaranteed as well, so we should not allow them into the market,” she said.

The media engagement organized by the Communications Department was to highlight NPA’s activities in the petroleum downstream industry and respond to industry-related questions from the media.

She said the Executive Instrument (EI) 378, which the Authority obtained in 2020, was to enable the NPA to ensure successful prosecution of cases in the petroleum downstream industry and stem the tide of crime in the sector.

Ms. Ali-Musah mentioned that engaging in an activity in the downstream petroleum industry without NPA certified licensed, misapplication of the prescribed petroleum pricing formula and tempering with Bulk Road Vehicle (BRV) tracking and volume monitoring are some of the crimes that would be prosecuted.

Others are false statements and withholding of material information, obstruction, or interference with investigation and selling unmarked fuel.

Taking his turn, the Head of Planning of NPA, Mr Dominic Aboagye, said 80 per cent of the country’s fuel consumption was dependent on importation while 20 per cent was produced locally.

He said the government and the private sector were making efforts, including the construction of a refinery by a private entity to improve local production of fuel products.

Welcoming the media on behalf of the Board and Management of NPA, the Corporate Affairs Director, Mrs. Maria Edith Oquaye said last year’s media engagements across the country focused on pricing and quality of petroleum products and indicated that this year’s sensitization was on the processes in the supply of petroleum products and the requirements for sitting filling stations.

For his part, a member of the Governing Board of NPA and Chairman of the Consumer Services sub-committee, Mr Kwami Sefa Kayi, lauded the NPA for the sensitization drive and stressed that the media engagement was to get journalists well informed about the operations of NPA and communicate same to the public.

This follows the Attorney’s General appointment of a public prosecutor in respect of criminal actions that arise under the Act.

The Head of the Legal Directorate of NPA, Ms Farida Ali-Musah, who made this known during a media engagement in Takoradi, said before the institution of Executive Instrument 378, the police handled in court the majority of the NPA criminal cases.

 She said the NPA was established pursuant to the Act with the statutory mandate to regulate, monitor and oversee the petroleum downstream industry.

She said, while the sector continued to grow, the regulatory ambit remained static, with overreaching laws inadequate to significantly keep it abreast with the changing nature of the industry, especially the conduct of some persons in the industry who engaged in criminal activities.

Ms Ali-Musah, therefore, noted that the implementation of Executive Instrument (EI) 378, needed the support and assistance of the Ghana Police Service, Judiciary, Media, stakeholders, and sister agencies to place the NPA in the position to curtail such illegal conduct.

She said EI, 378 would enhance the authority’s regulatory oversight of the industry and stem the tide of criminality that was creeping into the sector and negatively impacting revenue generation opportunities in the country.

She said it would also ensure the successful prosecution of offenders and curtail the brazenness of illegal conduct being perpetrated by persons in the industry.

Ms Ali-Musah mentioned the engagement in activities in the downstream industry without a license, misapplication of prescribed petroleum pricing formula, false statements and withholding of material information, obstruction or interference with officers and employees of the authority, the abuse of the BRV tracking and volume monitoring regulation and the Petroleum Product Marketing regulations among others as offences that would be prosecuted.

The Western Regional Manager of NPA, Mrs Sandra Aidoo, said the region had recorded high figures for confiscation of illegal fuel and ‘tabletop’ fuel operators of petroleum products.

She said between January and April this year, her outfit in collaboration with the Navy and Marine Police confiscated 73,000 litres of crude oil and 108,000 litres of diesel from smugglers along the coastal communities in the region.

Ms Aidoo explained that they initially confiscated 108,000 litres of diesel on the high seas in January of which the smugglers were arrested and were currently standing trial in court, while the 73,000 litres of crude oil were confiscated in April, but the smugglers however bolted and left the crude oil, which has since been sent to Accra for the necessary action to be taken.

She said as part of their monitoring exercise, four retail outlets that did not meet compliance scores were closed and called on the public to avoid patronising fuel sold on “tabletops”, stressing that though they might have cheaper prices NPA could not guarantee the quality of their fuel.

Ms Aidoo said her outfit in collaboration with the Police and other stakeholders would soon embark on a swoop to check on the operations of the “tabletop” fuel operators who she described as a risk to the public.

On his part, the Head of Planning at the Authority, Mr Dominic Aboagye said systems and interventions to ensure unbroken supply of oil which included, the innovative Gold for Oil policy helped to secure the nation’s credential as a hub of fuel supply in the sub-region.

He said rigorous monitoring of the Lycan programme, special international oil trading licenses, forex auctions and the gold for oil policy ensured a constant supply of fuel in the country, noting that efforts were also being made to increase the oil refining capacity in the country.

Mr Aboagye said NPA used a Lycan allocation programme to ensure fuel availability, which helped to monitor extensively the distribution and consumption trend which had helped to promote the supply of fuel to countries like Mali, Niger, Togo, and Burkina-Faso.

He explained that the mix of policies and interventions enabled the smooth running of the downstream petroleum sector in the face of growing threats and risks to supply which included, geopolitics and climate action policies as well as the threatening forex liquidity risk.

He said NPA was actively advocating the revival of the Tema Oil Refinery and the construction of the Sentuo Refinery to increase fuel refinery and supply in the country.

The NPA clarified that the facility is still active and working but only had an issue of availability of crude oil which the authorities said they are putting in place measures to remedy the situation.

The NPA disclosed this at a media engagement held in Koforidua in the Eastern region which focused on processes leading to citing of fuel stations and fuel supply and availability in Ghana.

In a presentation done by the Head of Planning at National Petroleum Authority, Dominic Aboagye, he said his outfit’s overriding objective is to ensure fuel availability in the country. He assured that, several measures have been put in place to ensure security of fuel supply in the country.

In answering questions pertaining to the status of Tema Oil Refinery, he admitted there were challenges of the refinery, but he clarified that they were too subtle to cause a total shutdown.

The Eastern Regional Manager of National Petroleum Authority, David Owusu Kena, also spoke to the media on the need to desist from use of ramps to overfill their fuel tank and avoid its associated dangers.

He also used the opportunity to educate the public on processes that lead to citing of fuel stations.

According to him, this is to ensure that the impact of the G4O programme is felt by consumers across the country, while addressing the concerns of the AOMCs regarding a lack of clarity regarding the allocation of products supplied under the programme to its members.

The criteria takes into consideration the top 25 OMCs who distributed petrol and diesel in 2022 with not less than 45 retail outlets across the country.

He touted the implementation of the  G4O as it has slightly lowered prices of petroleum products and reduced forex risk.

Speaking at the meet-the-press in Accra on Wednesday, the NPA boss said the country had received three cargoes so far, comprising 41,000 metric tonnes (MT) of diesel in January, and another 40,000MT of diesel and 35,000MT of petrol which have just arrived and being discharged.

He stressed that “better results are expected as more G4O cargoes arrive.”

The meet-the-press under the auspices of the Ministry of Information that featured the NPA, focused on developments in the downstream petroleum industry on the theme: “Petroleum Downstream: Retrospect and Prospect.”

Tracing the situation before the implementation of the G4O programme, Dr Abdul-Hamid

said average monthly petroleum product import bill ranged from $350 million to $400 million.

He said the petroleum downstream dollar demand accounted for 20 percent of national demand.

The NPA Boss noted that Bank of Ghana (BoG) commenced a special exchange rate auction programme for the petroleum downstream in April 2022, and indicated that the special auction programme could not meet 100 percent of forex demand in the country.

“Inadequacy of BoG supply pushes BIDECs to speculate forex rates arbitrarily based on proposed rates from commercial banks”, he said, and explained that the gold payment was mooted as a solution to the pressure that petroleum downstream put on the cedi.

Dr. Abdul-Hamid said the NPA regulates G40 products prices on the interim (Ex-ref price and Ex-pump prices).

He stated that the Authority had intensified price monitoring activities with penalties for defaulting service providers.

Touching on activities undertaken to ensure product quality and integrity, the NPA Boss mentioned the supply of low sulphur fuels (cleaner fuels), a maximum of 50ppm for imports and a maximum of 1500ppm for domestic production.

The NPA also undertakes periodic petroleum product monitoring exercises, conducts fuel marker monitoring and quality monitoring of fuel standards (Quality Control) including checking of water in fuel and collaborates with security agencies to prevent illegal imports, exports and product dumping.

He said the Authority used technology (Electronic Cargo Tracking System (ECTS), National Fuel Monitoring System (NFMS) and the Automatic Tank Gauge system) to ensure intended delivery of petroleum products along the petroleum downstream value chain.

Dr Abdul-Hamid mentioned the revocation of licenses and publication of the names of defaulting Petroleum Service Providers (PSPs) and Laycans allocation and monitoring to ensure adequate supply as some of the activities undertaken to ensure order in the downstream petroleum industry.

Payment for oil supply is expected to be done in two channels.

The channels will include a barter trade where gold is exchanged for oil “or via a broker channel where the gold is converted into cash and paid to the supplier”.

In a statement on Sunday, February 5, the NPA subsequently explained that “The implementation of the G4O will ease pressure on the dollar (the currency used for the importation of petroleum products) and avoid the occasional increases in petroleum prices resulting from the depreciation of the cedi against the dollar”.

The assurance from the Authority comes at a time when some consumers are raising concerns about the relevance of the deal, in relation to subsiding petroleum products.

But in its latest release, the NPA noted that “The consequent reduction in foreign exchange pressures and premiums charged by international oil traders as well as efficiency gains from the value chain will lead to lower ex-pump prices in the country”.

“To ensure that the price of petroleum products imported under the G4O programme reflects at the pumps to benefit the consumer, the National Petroleum Authority (NPA) will regulate the prices of the products in the interim until the volumes increase significantly”, the statement further disclosed.

“The NPA will put measures in place to ensure that OMCs that lift products supplied under the G4O programme pass the price on to consumers accordingly. In this respect, BIDECs and OMCs who lift and supply G4O products will sell at the ex-refinery and
ex-pump prices that will be determined by the NPA.

If there must be a comingling of products supplied under G4O and other sources, the ex-refinery and ex-pump prices will be computed using a weighted average”, the NPA added.

Read full statement below

In addition, the NPA will work with the Bulk Oil Storage and Transportation (BOST) Company Limited to negotiate prices with international oil traders to ensure that the landed cost of products procured under the programme is always competitive.

A statement from the NPA said the price at which BOST would sell the products to bulk import, distribution and export companies (BIDECs) would be approved by the NPA, and that “the price at which the BIDECs will sell the products to oil marketing companies (OMCs) will also be approved by the NPA”.

Exchange rate

“The applicable exchange rate for pricing the products supplied under G4O will be based on the average rate at which the gold was purchased from licensed gold exporters by the BoG.

“The BoG ordinarily purchases the gold aggregated by the Precious Minerals Marketing Company (PMMC).”

Exchange rate

“The applicable exchange rate for pricing the products supplied under G4O will be based on the average rate at which the gold was purchased from licensed gold exporters by the BoG.

“The BoG ordinarily purchases the gold aggregated by the Precious Minerals Marketing Company (PMMC).

“The NPA will put measures in place to ensure that OMCs that lift products supplied under the G4O programme pass the price on to consumers accordingly. In this respect, BIDECs and OMCs which lift and supply G4O products will sell at the ex-refinery and ex-pump prices that will be determined by the NPA. If there must be co-mingling of products supplied under G4O and other sources, the ex-refinery and ex-pump prices will be computed using a weighted average.

“All BIDECs and OMCs which wish to purchase products under the G4O programme will be required to sign an undertaking confirming their willingness to comply with the terms and conditions for partaking in the purchase and sale of G4O products,” the statement said.

Implementation

The implementation of the government’s G4O programme commenced with the arrival of the first consign­ment of about 40,000 metric tonnes of diesel on January 15, 2023, valued about $40 million.

The prime objective of the programme is to use additional foreign exchange resources from the BoG’s domestic gold purchase (DGP) programme to provide foreign currency for the importation of petroleum products for the country, which currently stands at about US$350 million per month.

Under the initiative, the payment for oil supply is to be done in two channels: by way of barter trade, where gold is exchanged for oil, or via broker channel, where the gold is converted into cash and paid to the supplier.

Consignment

The statement said the first consignment of 40,000 metric tonnes of diesel constituted about 10 per cent of the country’s combined monthly demand for petrol and diesel, and that the plan was to gradually increase imports under G4O to constitute about 50 per cent of its total demand of petrol and diesel by March 2023.

“The implementation of the G4O will ease pressure on the dollar (the currency used for the importation of petroleum products) and avoid the occasional increases in petroleum prices resulting from the depreciation of the cedi against the dollar.

“The programme will ensure that the cost of importing the products from international oil traders will be comparatively cheaper,” it said, adding that “the consequent reduction in foreign exchange pressures and premiums charged by international oil traders, as well as efficiency gains from the value chain, will lead to lower ex-pump prices in the country”.

Per the sanction, Finest Oil will pay a fine of GHS160,000.00 comprising GHS10,000.00 for engaging in third-party supplies for the first time and GHS150,000.00 for the unlawful lifting of petroleum products.
Failure by the company to comply will attract an additional one (1) month’s suspension of its operations.

In the case of Petro XP, it will pay a fine of GHS340,000.00 comprising GHS10,000.00 for engaging in third-party supplies for the first time and GHS330,000.00 for the unlawful lifting of petroleum products. If Petro XP fails to comply, it will attract an additional one (1) month’s suspension of its operations.

Glasark Oil has been fined GHS95,000.00 comprising GHS10,000.00 for engaging in third-party supplies for the first time and GHS85,000.00 for the unlawful lifting of petroleum products.
Failure by the company to comply will attract an additional one (1) month’s suspension of its operations.

For Lilygold Resources Limited, it will pay a fine not exceeding five (5) times the license/permit fee for breaking the Authority’s seals, and failure to pay will result in the suspension of its operating license in addition to paying the penalties.

The NPA cautions that any company that fails to comply with the rules and guidelines stipulated by the Authority will be subjected to further sanctions.

According to him, the country has enough quantity of petroleum products in storage to sustain the demand of consumers till the next delivery of fuel happens.

His statement follows concerns from civil society organisations of an imminent fuel shortage should the cedi continue to free fall against the dollar amid a dollar scarcity in the country.

Speaking on JoyNews’ PM Express, Mohammed Abdul-Kudus said, “For now there hasn’t been any information available to me about any possible shortage of petroleum products.

“What I know and the visibility that I have mostly has to do with the available quantity of petroleum products that we have at a particular given point in time and how long it will actually be around to be able to sustain the demand that we will be having as a country.

“And what I’ve seen as at today, this morning, there hasn’t been any eminence of a shortage in the future. What I have is that we have enough in our stock to be able to take us before the next line of laycan is allowed to deliver fuel.”

These are margins and other levies that have been collected by the OMCs since last year, but they have failed to pay the monies to the NPA. 

A total of ¢68 million cedis out of the debt is coming from the Primary Distribution Margin Fund.

Joy Business is learning that these monies are paid by consumers at the pumps which are supposedly to be repaid to the regulator at the end of every operational month.

Proposed actions by NPA

The NPA has maintained that these companies have up until the end of September 2022 to settle these debts.

The authority warns that failure to settle these debts, will result in the publishing of names of the directors and shareholders of these companies in the national dailies.

It has also indicated that it will not hesitate to take the necessary legal against the directors of these firms as an additional action.

Meanwhile, Joy Business has gathered that licenses of some of the companies have been withdrawn and stopped from loading oil in the country.

They were given some timelines, but did not go by this initial plan.

List of Companies indebted to the NPA

1. APEX PETROLEUM GHANA LIMITED

2. AVOS OIL COMPANY LIMITED

3. BISVEL PETROLEUM SERVICES

4. BLACK ROCK ENERGY LIMITED

5. CAPSTONE OIL LIMITED

6. CHAMPION OIL COMPANY LIMITED

7. DEEP PETROLEUM LIMITED

8. DELIMAN & CO LIMITED

9. G& G OIL LIMITED

10. GLEE OIL LIMITED

11. GOLDEN PETROLEUM LIMITED

12. HAK OIL

13. HAVILAH OIL GHANA LIMITED

14. HOSSANA OIL COMPANY LIMITED

15. HUMANO ENERGY LIMITED

16. JAS PETROLEUM LIMITED

17. KARELA OIL AND GAS LIMITED

18. LIFE PETROLEUM COMPANY LIMITED

19. LILLYGOLD ENERGY RESOURCES LIMITED

20 MAIGA & HHM COMPANY LIMITED

21. MBA GLOBAL PETROLEUM LIMITED

22. MM ENERGY LIMITED

23. NURU OIL COMPANY LIMITED

24. ORIENT ENERGY LIMITED

25. OVAL ENERGY COMPANY LIMITED

26. P&0 ENERGY COMPANY LIMITED

27. PERFECT PETROLEUM COMPANY LIMITED

28. PETA ENERGY LIMITED

29. PETRO AFRIQUE GHANA LIMITED

30. Q8 OIL (GH) COMPANY LIMITED

31. RICH OIL COMPANY LIMITED

32. RODO OIL LIMITED

33. ROYAL ROSES OIL COMPANY LIMITED

34, SAFETY PETROLEUM LIMITED

35. SANTOL ENERGY LIMITED

36. SAWIZ PETROLEUM COMPANY LIMITED

37. SEPHEM OIL COMPANY LIMITED

38. SKY PETROLEUM LIMITED

39. SPIRITS PETROLEUM LIMITED

40. TITAN PETROLEUM LIMITED

41. UNION OIL GHANA LIMITED

42. UNIQUE OIL COMPANY LIMITED

43. UNIVERSAL OIL COMPANY LIMITED

44. WARREN OIL COMPANY LIMITED

45. ZOE PETROLEUM LIMITED

Indebtedness to the State

Some of the OMCs are also said to be owing millions of cedis to the state in terms of taxes.

The Ghana Revenue Authority recently disclosed that it is prosecuting some OMC over delays in paying the debts.

The swoop was carried out by NPA Volta Regional office at Dzodze, Penyi, Wudoaba and Afla in both Ketu South and North Municipalities.

According to the Regional Director, Rasheed Dauda, it was necessary to take up action due to their investigations and the recalcitrant behaviours of the alleged smugglers in the two municipalities.

The military was also invited to give the officials of NPA protection.

Mr Dauda noted that the illegal sale of petroleum products in the areas is unacceptable with most of them not wholesome and bad for the consumer market.

He further explained that the swoop will be a nationwide exercise and they will continue until the illegal activities are reduced and the culprits brought to book.

He said that over hundred unwholesome products in jerry cans and other petroleum products were confiscated and sent to the NAP Tanker Park for further investigations.

“Texts carried out on the products confiscated shows that they are not wholesome for sale to consumers and so have been taken to the Tankar park of the National Petroleum Authority for further investigations,” Mr Dauda said.

Mr Dauda said one person has been arrested and is currently in the custody of the Afalo Police station helping with investigations to get the rest of the other suspects.

The Regional Director said the aim of the swoops across the country is to make sure that all smuggled products do not find their way to unsuspecting consumers.

He explained that the high standard of the country’s petroleum products makes it easy for them to distinguish between our products and that of the neighbouring countries.

“Because we have petroleum products of a higher standard in Ghana, it easy for us to text products from unapproved places and compare them to what we have in Ghana and know if they are really of good standards or not, “ Mr Dauda said.

Mr Dauda, however, advised consumers of petroleum products to always make sure that it from the right and NPA-approved outlets.

Meanwhile, the Chief Executive Officer of the NPA, Dr Mustapha Abdul-Hamid, who visited the Upper East, West, Northern and Ashanti regions on a working visit, said issues such as fuel smuggling at the border towns, particularly Wedana community, selling of adulterated fuel as well as filling stations operating with expired licenses and working without safety standards are not acceptable and must stop.

This is contained in a letter addressed to the Chairman of the LPG Marketers Association of Ghana by the National Petroleum Authority (NPA) on August 3, 2022.

According to the statement signed by the Chief Executive of the NPA, Dr. Mustapha Abdul-Hamid: “We are pleased to inform you that Cabinet at its 35th Sitting, held on August 3rd 2022, has granted a special dispensation to allow the completion of the construction of stranded LPG stations across the country, that were affected by the ban on the construction and operation of new LPG facilities in 2017.”

The NPA therefore requested, “all OMCs/ LPGMCs who were affected by this directive to resubmit their applications to the Authority.”

The Liquified Petroleum Gas (LPG) Marketers Association of Ghana, the Ghana LPG Operators Association of Ghana and the Tanker Drivers Association of Ghana declared an industrial strike action in the course of the week.

The striking groups raised a number of issues, including the shutdown of some stations as a result of the Atomic Junction gas explosion five years ago. They are asking the government to immediately lift the ban.

According to them, government’s refusal to re-open some gas stations that were closed after the 2017 gas explosion has affected its members, hence the need to embark on the strike.

Meanwhile, the strike has had an impact on LPG customers, who have been denied access to the product due to scarcity. This has forced some consumers to switch to charcoal.

The workers are aggrieved over the government’s refusal to re-open some gas stations that were closed after the 2017 gas explosion at the Atomic Junction in Accra.

President of the Ghana National Petroleum Tanker Drivers Union, George Nyaunu, also told JoyNews that among other things, some unresolved welfare issues are part of their reasons for the strike.

The National Petroleum Authority (NPA) has since been concerned that the strike could have dire consequences for fuel supply in the country.

A spokesperson for NPA, Abdul-Kudus Mohammed, in an interview revealed that everything is being done to resolve the impasse.

“The impact is going to be dire if it is not arrested as soon as possible. That is why I said the Chief Executive, Mustapha Hamid and the Energy Minister [Matthew Opoku-Prempeh], have taken a keen interest in getting a quicker solution to it.

“It is not just the LPG tanker association that is on strike, the LPG Marketers Association have solidarised with them [drivers] by not delivering at the pumps. So obviously, we are trying so hard to bring all parties to the table to try and have a discussion and get a resolution that will be good for everybody.”

Meanwhile, the LPG operators are resolved to shut down all retail outlets in the country until government addresses their grievances.

She said stations with green Ghana Standards Authority (GSA) stickers were always the go-to places for petroleum products, since those stations were regularly monitored by the NPA and, therefore, the quality of their products could be guaranteed.

During a public sensitisation exercise in the Central Region, Mrs Budu Nyarko also stressed the importance for consumers of petroleum products, such as liquefied petroleum gas (LPG), to be conscious of their safety. The NPA is on a nationwide drive to sensitise key users of petroleum products, such as drivers, traders, micro, small and medium enterprises, as well as fuel retail outlets, to safety, quality and proper use of products.

The exercise, which is being undertaken by a team from the national and the regional offices of the NPA, has seen the team engage traders, pedestrians, commercial drivers, as well as fuel retail outlets. In Cape Coast, the team visited the Tantre Lorry Station, the Kotokuraba Market and taxi station, the Abura Market, among other areas.

Cylinders Mrs Budu Nyarko cautioned the public against placing LPG cylinders, both empty and filled, near naked fi res or inflammable liquids. She noted that that act had the potential to cause fi re outbreaks which could result in the loss of lives and properties.

She underscored the need for users of petroleum products to adhere to all safety protocols because the flouting of laid down regulations had the potential of igniting fi re outbreaks at home and workplaces.

Complaints

The Central Regional Manager of the NPA, David Owusu Kena, said the exercise was to educate and create awareness among consumers of petroleum products due to a number of complaints concerning dissatisfaction with the kind of services they got at the pumps.

According to him, although the NPA was sensitising consumers of petroleum products to how to handle such cases safely, the exercise was for consumers to approach the NPA for their complaints to be addressed within the shortest time. On suspected cases of under delivery, Mr Kena said “so far at the stations that we have tested, their volumes with the 10-litre can have no form of under-delivery”.

The regional manager said the NPA had been carrying out monthly, as well as random, checks to ensure that fuel retail outlets did not shortchange consumers through underdelivery and sale of substandard petroleum products.

Mr Kena urged consumers to have more confidence in the NPA, noting that that had been a challenge because some consumers thought the authority was in bed with petroleum service providers.

The exercise, which is being spearheaded by the Consumer Services Department at the Head Office and the Western regional office of the NPA came in the wake of frequent complaints about some stations adjusting their pumps to cheat their customers in order to maximize profits.

This necessitated the surprise visits to selected fuel stations to check the accuracy of their pump delivery to petroleum consumers.

At the end of the exercise, the team found some of the stations culpable and as a result, closed them down as they await further punitive measures to be imposed on them by the NPA.

The Head of Consumer Services at the NPA, Mrs Eunice Budu Nyarko in an interview said it is an offense for fuel service stations to pump fuel for sale to customers below the required litre.

The team, later on, held a sensitisation programme for petroleum consumers in the region. Mrs Budu Nyarko told traders and commercial drivers to live up to their civic responsibility of immediately reporting fuel stations they suspect of adjusting their pumps to cheat customers.

They were given hotlines which they could call 24/7 to lodge their complaints. She said, “when complaints are made within 48 hours of the purchase of fuel, prompt investigation can be carried out and the truth established before that product is sold out”.

She further advised the public to “buy fuels from functional filling stations since these stations are frequently monitored by the NPA and hence, the quality of their products can be guaranteed”.

The team also sensitised students of the Takoradi Technical University, traders at the Takoradi market circle, Jubilee Park and No.9 Markets and commercial drivers at the market circle on how to use LPG safely.

The NPA team highlighted the activities of the authority including its mandate and responsibilities to the consuming public.

Madam Cindy Andoh-Davies, a Manager at the Western regional office of NPA entreated consumers to adhere to safety protocols to prevent accidents.

The Consumer Services Department regularly visits the regions to sensitise consumers about their rights and channels to send their complaints for prompt redress by the Authority.

President Akufo-Addo had directed the National Petroleum Authority to extend the removal of the Price Stabilisation and Recovery Levies on petrol, diesel, and LPG to the end of January.

Following the exhaustion of the grace period, the NPA has restored the PSRLs.

“We hereby wish to inform all Oil Marketing Companies (OMCs) and LPG Marketing Companies (LPGMCs) that effective 1^st February, 2022, the PSRLs on petrol, diesel and LPG have been fully restored,” it said in a statement.

The restored PSRL is 16 pesewas per litre on petrol, 14 pesewas per litre on diesel, and 14 pesewas per kilogram on LPG.

According to the NPA, the zeroing of the PSRL cannot be extended any further considering it remains the source of revenue for the payment of the subsidies on Premix Fuel and Residual Fuel Oil (RFO).

Thus an attempt to extend the suspension of PSRL further would “negatively affect the payment of subsidies to the suppliers of these products, and threaten their continuous supply to customers.”

“All Oil Marketing Companies (OMCs) and Liquefied Petroleum Gas Marketing Companies (LPGMCs) are to take note of the above and apply them in their PBU accordingly,” the NPA stated.

Below is the full statement

His statement comes at the back of incessant cases of smuggling of petroleum products into the country by unauthorised persons.

Dr Abdul-Hamid, speaking during his tour on the Afloa border, explained that smuggling, in general, has been a menace, but fuel smuggling seems to be the centre, especially at a time there is a hike in price.

He cautioned such criminals to desist from their actions as he will ensure persons caught face the law.

“I want to land on the point again we have not licensed anybody to bring in sludge or wholesome or processed products,’’ he noted.

The OIC Marine Officer of the Ghana Navy, Lieutenant General Joseph Jeffrey, also revealed that it’s a different terrain when it comes to the smuggling of fuel into the country.

He further called on the authorities to engage fishermen on the issue of fuel smuggling on the sea.

“So at night you can easily work, somebody can easily see it and call but who is at the sea apart from these fishermen so we have to engage them,’’ he stressed.

Watch the video below for more:

In his response to the calls by some 16 driver unions for the scrapping of taxes on fuel, Mr Kudus clarified that the essence of price marking is to ensure that the quality of fuel is maintained.

Speaking to Israel Laryea on the AM Show on JoyNews, he underscored the importance of the levies on price build-up of fuel.

“There is a call for scrapping or removal of some levies as part of the price build-up and I just heard that the fuel marking has been brought up as a specific issue. The fuel marking is supposed to take care of possible adulteration to guarantee and ensure that the quality as it is from the point of the depot that it was taken from, to the pump that it is to be discharged, so that you and I can buy, it is that particular component of the price build-up that guarantees the quality,” he said.

Although he admitted to the relief the removal of levies will bring to Ghanaians, Mr Kudus argued that the consequences will be dire.

“If it is scrapped, removed or taken out, what it means is that there might be a certain marginal relief on the prices that we pay for the product but the consequences we might not be averting our minds to, is the possible compromise on the quality of the product that you and I will have, the effect it would have on the engine,” he explained.

But General Secretary of the Ghana Private Road Transport Union (GPRTU), Godfred Abulbire, reiterated the need to remove taxes like the energy debt recovery levy on fuel.

“If you look at the first levy that we mentioned, the energy debt recovery levy…as at now per their own publication, the energy debt has been cleared so perhaps if they are not scrapping that particular levy, it should be reduced. Government has seen that it is justifiable to remove the price stabilisation levy and they only acted by suspending it for two months and we think if that one is also removed, per the figure on it, it may not be too much but it justifies its removal,” he said.

Some 16 driver unions are demanding that the government scraps some taxes on petroleum products.

The government has announced the suspension of the Price Recovery and Stabilisation Levy (PRSL) for the next two months to cushion fuel consumers.

However, the 16 driver unions say they cannot put up with the recent increase in fuel prices, hence the suspension of the PRSL is inadequate.

They have, therefore, threatened to withdraw their services on Thursday at 3:00 pm should their demands go unheeded.

This was in a meeting with Sierra Leone’s Minister for Trade and Industry, Dr Edward Hinga Sandi when the NPA boss, Dr Mustapha Abdul-Hamid paid a working visit.

Also present at the meeting was the Executive Chairman for PRA-SL, Dr Brima Baluwa Koroma.

The two countries shared experiences in the regulation of the Petroleum Downstream Industry.

PRA-SL requested to partner with Ghana’s NPA in their pursuit to improve their human resource capacity, legal and institutional reforms in their operations.

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Dr Hamid in his address admitted that cooperation was the only way the two countries can advance in development, hence, stated the call for assistance was a step in the right direction.

“The only way we can get out of our developmental challenges is by cooperating with each other. We are the only ones who are interested in the development of our countries and neighbouring countries.

“Because if I am not interested in the development of Ivory Coast, Liberia, Mali, and other neighboring countries and there is a crisis in any of these countries, Ghana or other neighbours get the spillover effect,” he stated.

This ends months of speculations linking him to one of the most prestigious state owned enterprises in Ghana.

His appointment takes effect from July 1, 2020.

In a letter dated 17th June 2021, Dr Abdul-Hamid has been charged to champion the vision and mission of the NPA, which is to “Regulate, Oversee and Monitor the Petroleum Downstream Industry in Ghana for Efficiency, Growth and Stakeholder Satisfaction.”

He is expected to re-position the downstream petroleum regulator in order to address the huge revenue leakages in the sector.

He is taking over from Hassan Tampuli, who is now the Member of Parliament for Gushegu in the Northern Region.

He served as a Spokesperson to then-candidate Akufo-Addo from 2008 until 2017 when he became the Information Minister and Presidential Spokesperson.

Prior to that, he served as the Executive Director of the Danquah Institute and a lecturer at the University of Cape Coast.

Profile

Dr Abdul-Hamid was the first Information Minister in President Akufo-Addo’s first term in office but was later reassigned as the Minister for Inner City and Zongo Development.

Before then, he served as Spokesperson to then-candidate Akufo-Addo from 2008 until 2017.

He later served as the Deputy National Campaign Manager for President Akufo-Addo’s successful second term bid in 2020, and was in charge of the campaign’s communications.

Dr Abdul-Hamid attended Tamale Secondary School in 1987 for his Advanced level. In 1991, he was admitted to the University of Cape Coast to pursue a Bachelor of Arts degree where he eventually majored in Religious Studies.

He subsequently obtained an M.Phil and a PhD in Religious Studies from the same university.

Following the announcement of the model a year ago, the NPA has stayed somewhat silent over the time the policy will kick off especially when various inspection and monitoring exercises have been conducted.

According to Director for Inspection and Monitoring, Esther Anku, steady progress has been made to ensure a smooth rollout of the policy.

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“Once the first bottling plant then it means we are ready to roll out because the bottling plant must be available to receive empty cylinders and also refill them for recirculation. I could project the first quarter of next year (2019) for the onset of the policy. That could be earlier,” she revealed in an exclusive interview with JoyBusiness.

Implementation committee

So far a Committee – National LPG Policy Implementation Committee has been established to ensure a smooth rollout of the process.

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The Committee developed a roadmap with four key objectives: regulatory framework, cylinder recall, training and capacity building and decommissioning of high risk refilling plants.

However, decommissioning of high-risk refilling plants have not begun. It is unclear when the decommissioning will begin, Madam Anku said and added that decommissioning would begin “when the first bottling plant is up.”

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Meanwhile, the NPA has consulted with petroleum service providers including bulk distribution companies, storage companies, oil marketing companies, tanker drivers and LPG refilling plant operators to ensure a smooth rollout of the process.

“Whilst we are hopeful the full implementation of the measures will ensure safety, the NPA, in the interim, is collaborating with the Oil Marketing Companies (OMCs) and other relevant stakeholder agencies, to enhance the capacity of persons involved in the handling of petroleum products, including tanker drivers and their mates,” the NPA has stated.

In order to ensure smooth implementation, LPG refilling plants would be classified into low risk and high risk based on their deficiency in meeting safety standards in a Risk Assessment of all plants by the NPA.

The high-risk refilling station would be immediately converted into filled cylinder retail and distribution outlets whereas low-risk refilling stations would be dedicated to the supply of Autogas only, with improved safety standards.

The proposed new LPG distribution model will begin with the LPG Bulk Distribution Company (LBDC), whose responsibility will be to either import or buy the LPG from local refineries or/and gas processing plant, such as Tema Oil Refinery and Ghana National Gas Company, and store the LPG in their Bulk Storage facility.

The LBDC will then sell the LPG in bulk to either the Bottling Plant for the sole purpose of filling the empty cylinders or to the LPG Marketing Companies (LMCs) for bulk sale to industrial end-users – factories, restaurant, and mini-power plants- and also to autogas users.

The LPG Bottling Plant Company will be responsible for filling the empty cylinders for onward distribution to LMCs. The LMCs will be responsible for procuring, branding, and maintaining the cylinders.

Specialized trucks will be used to transport the filled cylinders from the bottling plants to the retail stations or exchange points, where consumers will exchange their empty cylinders for filled ones.

A minimum of 4,000Mt capacity storage depot shall be used as the primary receiver of LPG either from imports or from domestic production, with gantry facilities for discharge into BRVs. This will be the preserve of an LBDC.

The LPG bottling plant is expected to have a minimum storage capacity of 250Mt with an automated bottling plant and a filling capacity of 1,000 cylinders per hour. The country will be zoned for the siting of these bottling plants. However, the distribution of their filled cylinders will not be limited to any particular zone.

Chief Executive Officer, Hassan Tampuli, says the Authority has enough products in stock as such, fears of shortage are unfounded.

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“We have enough stock in the country. We have diesel for almost five weeks, petrol, five weeks, LPG, we have about one week, aviation fuel almost three and half weeks.

“We have enough products in the country more than Malaysia has, as developed as they are, so we do not have any challenges,” he said.

Mr Tampuli’s assurance comes after some members of the Tanker Drivers Union (TDU) embarked on a sit-down strike on Monday, over poor working conditions.

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Earlier in a press release, the NPA suspended Globex Energy Limited together with other oil companies over tax evasion.

Globex Energy was among the five oil companies that were suspended by the National Petroleum Authority (NPA) for under-declaring or failing to declare returns on fuel they loaded at the Tema Tank Farm (TTF) in 2018.

They others were Union Oil Ghana Limited, Misyl Energy Company Limited, Excel Oil Company Limited, Unique Oil Company Limited and Life Petroleum Company Limited.

Agabet Limited was also suspended for indulging in underhand dealings with respect to declarations made to the Ghana Revenue Authority.

The NPA made the find after reviewing the returns of the companies for January and February this year.

However, a spokesperson for the company, by a letter dated 3 August, 2018, said the NPA cleared the company to resume business in the petroleum downstream activities.

It would be recalled that earlier when the press release suspending Globex Company for tax evasion was published, the Ghana Chamber of Bulk Distributors (GCBOD), came to the defence of Globex Energy Limited that the suspension of that company was not for tax evasion but rather for under declaration of volumes of sales.

Globex Energy Limited wishes to assure its stakeholders that it will continue to abide by the rules and regulations of the energy sector and foster better working relations with all players in the energy sector.