Government intervention to keep diesel prices below GHC20 - NPA CEO
The government has taken measures to prevent a sharp increase in petroleum prices at the pumps following an emergency meeting between the Energy Minister, the National Petroleum Authority (NPA), local refineries and selected players in the downstream petroleum sector.
Government intervention has been implemented to keep diesel prices below GHC20 per litre, according to NPA CEO Edudzi Tamakloe. This decision came after an emergency meeting convened by Energy Minister and President John Dramani Mahama to address the rising prices of petroleum products. The intervention aims to prevent diesel from reaching the projected GHC22 per litre in the current pricing window.
Tamakloe disclosed that Sentuo Oil Refinery and Tema Oil Refinery have agreed to maintain the prices at which they sold petroleum products to Bulk Distribution Companies during the previous pricing window. As part of the measures, the Finance Minister has suspended the GHC1-per-litre levy on petroleum products for October. This, combined with the decision of the two local refineries to keep their prices unchanged, should help absorb some of the pressure from rising international petroleum prices.
The NPA CEO noted that major Oil Marketing Companies have also assured that they will maintain pump prices similar to the previous pricing window. However, even if the prices are 20 or 20.90 at the pump, they will not reach the projected 22. The government's intervention is expected to cushion consumers as international market conditions remain volatile.
The sustainability of the measures depends on developments in the global market, including geopolitical developments and other international factors that could influence crude oil and refined petroleum product prices.
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