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Tag: Chamber of Petroleum Consumers

  • Fuel prices to increase by 5.7% on August 16 – COPEC

    Fuel prices to increase by 5.7% on August 16 – COPEC

    The Chamber of Petroleum Consumers (COPEC) announced fuel prices will increase by about 5.7% in on August 16.

    Petrol is expected to cost GH$12.97 a liter and diesel is expected to cost GH$13.43 a liter.

    The mean (average) price of gasoline and diesel is anticipated to be GHC 13.20 per litre and GHC 12.30 per kilogramme, respectively. Within the window, a 14.5 kg LPG cylinder is anticipated to sell for GH 178.36.

    “All Pump Prices are expected to be within (±5%) error margin of COPEC’s prediction.”

    A statement signed by the Executive Secretary, Duncan Amoah noted that “Indications are that pump prices of Petrol and Diesel are likely to increase averagely by about 5.7% over the current mean price of GH₵12.45/L across the country whilst LPG prices increase by about 11.9%.”

    According to the press release, the increase is due to finished product prices on the global market, which have increased by an average of 11% for both gasoline and diesel.

    It added that Crude price has also been increased by 6.79% from the mean price of $80.67/barrel to $86.15/barrel even though the forex or Dollar exchange rate has relatively decreased from a previous average of GH₵11.7185 to GH ₵11.4538 (-2.26%) per $1.

    Find below details of the projections for the window:

    Petrol

    The international price rose from $898.55/MT to $965.58/MT (7.46%), bringing the retail price to GH12.97/L.

    In order to close selling between GH12.32/L and GH13.62/L within 5% of COPEC’s prediction, gasoline is predicted to increase by 4.37% from the current mean Pump retail price of GH12.40/L.

    Diesel

    The anticipated mean retail pump price for the upcoming window will be GHS13.43/L due to the increase in international benchmark prices from $786.73/MT to $902.15/MT (14.67%).

    Thus, Diesel is expected to increase by about 7.0% of the current Mean Pump retail price of GH₵12.49/L to be selling between GH₵12.76/L and GH₵14.10/L within ±5% of COPEC’s projection.

    Mean Price of Petrol and Diesel

    The Mean price of Petrol and Diesel for the coming window per the numbers shall be 13.20/L with mean pump retail price range of GH₵12.54/L and GH₵13.86/L, within ±5% of COPEC’s prediction.

    LPG

    With the international benchmark price increasing from $423.75/MT to $547.79/MT (29.27%) the projected retail price of LPG is expected to be selling averagely at GH₵12.30/kg.

    Thus, within ±5% error, LPG is expected to be sold between GH₵11.69/kg and GH₵12.92/kg

  • Foreign exchange policy needed to address petroleum price hikes – COPEC to BoG

    Foreign exchange policy needed to address petroleum price hikes – COPEC to BoG

    The Chamber of Petroleum Consumers (COPEC) has called on the Bank of Ghana (BoG) to develop a comprehensive foreign exchange policy to tackle the persistent surge in petroleum prices in the country.

    COPEC’s appeal follows a recent increase in petroleum prices at fuel stations during the second pricing window, which began on August 1, 2023.

    Presently, some major Oil Marketing Companies are selling diesel XP and Super XP at GH¢12.95 each, compared to the previous price of GH¢12.45.

    The Executive Secretary of COPEC, Mr. Duncan Amoah, explained in an interview with the Ghana News Agency in Accra that the price hikes were attributed to rising petroleum prices in the global market.

    To maintain stability in the country’s pricing, he emphasized the need for the central bank to devise a clear foreign exchange policy to bolster the value of the Cedi.

    With the expectation of a possible increase in oil prices during the second half of the year, COPEC urged the Bank of Ghana to be proactive in managing currency fluctuations effectively.

    On Tuesday, oil prices showed little change, hovering close to a three-month high reached on Monday. This was driven by indications of a tightening global supply due to output cuts by oil producers and robust demand in the United States, the world’s largest fuel consumer.

    As of 0402 GMT, Brent crude futures for October were trading at $85.25 per barrel, showing a slight decline of 18 cents or 0.2 per cent from the previous close.

    In June, OPEC had agreed on a broad deal to limit oil supply until 2024, with Saudi Arabia committing to an additional voluntary cut of one million barrels per day for July. On July 3, Saudi Arabia announced that this cut would also apply to August and could potentially be extended further.

    Mr. Amoah also issued a warning that if the combination of increasing oil prices in the global market and currency instability persisted during the second half of the year, petroleum prices at the pumps could witness significant hikes.

  • COPEC forecasts marginal rise in petroleum prices for August 2023

    COPEC forecasts marginal rise in petroleum prices for August 2023

    The Chamber of Petroleum Consumers (COPEC) has foreseen a slight upswing in petroleum prices during the first pricing window of August 2023.

    It is anticipated that both petrol and diesel pump prices may increase by approximately 9 percent from the current nationwide average price of GHS 11.90 per litre.

    Furthermore, the price of liquefied petroleum gas (LPG) is expected to undergo a significant increase of 20 percent.

    These projected price hikes by COPEC are attributed to the rise in international market prices for petroleum products, with crude oil registering a 10.53 percent increase, moving from the mean price of $75.85 per barrel to $83.84 per barrel.

    Based on these factors, COPEC has provided the following estimated retail figures for petroleum products in the upcoming pricing window:

    Petrol: GH¢13.27 per litre
    Diesel: GH¢13.93 per litre
    Mean price for Petrol and Diesel: GH¢13.33 per litre
    LPG: GH¢11.79 per kilogram

  • COPEC predicts a marginal fuel price increase

    COPEC predicts a marginal fuel price increase

    In the current pricing window, the Chamber of Petroleum Consumers (COPEC) has made a projection indicating a minimal but noticeable rise in fuel prices.

    According to the Executive Secretary of COPEC, Duncan Amoah, petrol and diesel prices are expected to see an increment between 2% and 5% compared to the current prices at the pump.

    He stated that the increase in petroleum products is due to the depreciation of the local currency – Cedi against the major trading currency – dollar.

    He however noted that Liquefied Petroleum Gas (LPG) prices remain unchanged.

    In an interview with Citi News, Duncan Amoah said, “Fuel products across the country, except for liquefied petroleum gas (LPG), are likely to rise, albeit marginal. LPG is likely to have prices sustained or remained at the current level. For petrol and diesel, we are likely to pay 2% – 5% more on current pump prices and a depreciation of the cedi largely accounts for this.

    “International benchmarks have remained relatively stable and even declined, unfortunately, you can’t say the same for the local currency and so give or take what most oil marketing companies are likely to give all of us is some marginal increase in the next pricing window of June,” he stated.

  • Prices of petrol to increase by 2%, diesel to drop by 5.6% – COPEC

    Prices of petrol to increase by 2%, diesel to drop by 5.6% – COPEC

    The Chamber of Petroleum Consumers (COPEC) has projected that the price of petrol may increase by 2 percent in the next pricing window that starts from April 16, 2023.

    According to COPEC, the projection is based on the increase in international benchmark pricing from $772.75 per metric tonne to $900.20 per metric tonne indicating a 16.49% rise, the retail price works up to GH¢12.41 per liter.

    A statement issued from COPEC and sighted by GhanaWeb Business explained that the “Price of petrol at the retail pumps is therefore expected to increase by an average of 2.01% from the current mean value of GH¢12.16 per liter.”

    In that light, petrol is expected to be sold between GH¢11.79 liter and GH¢13.03 per liter.

    However, diesel prices are expected to drop by -5.58% from the current value of GH¢12.71 per liter to between GH¢11.40 and GH¢12.60 per liter.

    For LPG, COPEC noted that the international price has slightly increased from $530.10 per metric tonne to $535.45 per metric tonne, representing 1.01%.

    “Taking into cognizance a decline in the forex rate for the period, the projected retail price of LPG will be expected to decrease by about -4.74% from the current industry retail average of 12.04 per kilogram to GHS11.47 per kilogram due to the drop in the dollar rate,” the statement from COPEC said.

    By this, LPG is expected to be sold between GH¢10.90 per kilogram and GH¢12.04 per kilogram when the new pricing window takes effect.

    “Knowing that, LPG consumption generally dropped by 12% in 2022, we entreat the Government to consider easing the numerous taxes on LPG or to even consider a subsidy programme on the price of LPG with the view to promoting and increasing its usage and to eventually help save the environment,” it added.

  • COPEC predicts 4% price increase in LPG

    COPEC predicts 4% price increase in LPG

    Liquefied Petroleum Gas (LPG) prices are set to increase by approximately 4.36%, from their current average of GHS 13.86 per kilogramme to GHS 14.46 per kilogramme, according to a statement issued by the Executive Secretary of the Chamber of Petroleum Consumers (COPEC).

    The price increase is due to a rise in the commodity’s price on the international market. 

    The statement explains that “with the international price increasing from US$699.45/MT to US$702.50/MT (4.94%), the projected retail price of LPG is expected to increase by about 4.36% from the current average of 13.86/kg to GHC14.46/kg.”

    The statement also notes that LPG consumption has decreased due to the country’s recent high retail prices. 

    “The current high retail prices of LPG have contributed to consumption generally dropping by 12% year over year in 2022,” it adds. 

    Last year, the price of LPG was increased more than three times, which was attributed to the fall of the cedi and the rapid increase in price hikes on the international market.

    In other news, the COPEC predicts that fuel prices will decrease by an average of four cents per litre, beginning Wednesday, March 1, 2023. 

    The Chamber indicates that the expected drop in fuel prices would not be influenced by the government’s “gold for oil” programme.

  • Fuel prices set to reduce in March – COPEC

    Fuel prices set to reduce in March – COPEC

    The Chamber of Petroleum Consumers (COPEC) says fuel prices at the pumps are set to see decline in the first window March 2023.

    According to COPEC, prices of both petrol and diesel have all declined marginally within the period whiles Crude price has also minimally dropped from $82.99/barrel to $82.48/barrel (-0.61%)

    “Though the Dollar exchange rate has seen a slight increase from averages of GHS12.4697 to GHS12.8650 (3.17%) per $1, further considering the CBOD rate of about $1=GHS14.00, the following shall form the predicted retail figures for Petroleum products from computations by the technical and pricing team, for the 1st pricing window of March under the price deregulation programme of the National Petroleum Authority.

    “With the international price decreasing from $878.41/MT to $849.25/MT (-3.32%), the retail price works up to GHS13.66/L. Petrol Retail prices are therefore expected to drop by 3.73% from the current Mean value of GHS14.20/L,” COPEC stated in a release dated February 27, 2023.

    It further stated that “With the International price decreasing from $854.00/MT to $809.38/MT (-5.22%), and the increase in the Dollar rate, the expected mean retail price for the next window shall be GHS13.98/L. Thus, Diesel prices are therefore expected to drop by 4.04% from the current Mean value of GHS14.57/L.”

     Below is the full statement from COPEC

    CHAMBER OF PETROLEUM CONSUMERS
    ACCRA

    27/02/2023

    FUEL PRICES SET TO DECLINE-FIRST WINDOW MARCH

    Following from the basic assumptions, that; prices of both petrol and diesel have all declined marginally within the period whiles Crude price has also minimally dropped from $82.99/barrel to $82.48/barrel (-0.61%)

    Though the Dollar exchange rate has seen a slight increase from averages of GHS12.4697 to GHS12.8650 (3.17%) per $1, further considering the CBOD rate of about $1=GHS14.00, the following shall form the predicted retail figures for Petroleum products from computations by the technical and pricing team, for the 1st pricing window of March under the price deregulation programme of the National Petroleum Authority,

    Which window commences on Wednesday, 1 March 2023. All understated Predictions are factored to be within (+/-)5%.

    Petrol

    With the international price decreasing from $878.41/MT to $849.25/MT (-3.32%), the retail price works up to GHS13.66/L

    Petrol Retail prices are therefore expected to drop by 3.73% from the current Mean value of GHS14.20/L

    Diesel

    With the International price decreasing from $854.00/MT to $809.38/MT (-5.22%), and the increase in the Dollar rate, the expected mean retail price for the next window shall be GHS13.98/L

    Thus, Diesel prices are therefore expected to drop by 4.04% from the current Mean value of GHS14.57/L

    Mean Price of Petrol and Diesel

    The Mean price of Petrol and Diesel shall be 13.82/L.

    LPG

    With the international price increasing from $699.45/MT to $702.50/MT (4.94%) the projected retail price of LPG is expected to increase by about 4.36% from the current average of 13.86/kg to GHS14.46/kg.

    These expected drops in prices for the second time running since the second pricing window of February 2023 does not have any correlation with the much touted Gold for Oil programme as these movements are simply a derivative of market forces at play within the period, we still await the reductions the two cargoes brought in this month will add to the relieving the suffering of the petroleum consumer

    Advice on LPG consumption.

    The current high retail prices of LPG has contributed to consumption generally dropping by 12% year on year in 2022,

    It will be prudent If authorities did take a second look at the factors contributing to high prices of a commodity which Ghana has in enormous commercial quantities to ensure price stability or decline if the government’s 50% penetration target is to be ever achieved and to continuously promote its usage with the overall environmental promotion in mind.

  • Government purchased oil from Russia’s Lethasco SA, not the United Arab Emirates -COPEC’s

    Government purchased oil from Russia’s Lethasco SA, not the United Arab Emirates -COPEC’s

    According to an energy policy analyst, the 40,000 metric tons of oil the government purchased as part of the “Gold for Oil” deal came from Lethasco SA, an Oil Trading Company (OTC) with headquarters in Russia, not the United Arab Emirates (UAE), as Vice President Dr. Mahamudu Bawumia had earlier claimed.

    This information was revealed by Mr. Benjamin Nisah, the head of research at the Chamber of Petroleum Consumers (COPEC), in response to Mr. Andrew Egyapa Mercer, the deputy minister for energy, who claimed that the government utilized cash rather than gold for the initial Gold for Oil contract.

    Mr. Nsiah spoke on the 6 p.m. evening news on Accra 100.5 FM on Thursday, February 2, 2023.

    He said the Gold-for-Oil deal is not the way to go, adding that the deal cannot resolve the country’s petroleum problems.

    He said this is so because the price of oil is determined by the Organisation of Petroleum Exporting Countries (OPEC) on the international oil market.

    He explained that even if the country had to use gold to purchase oil, it still had to purchase it on the international market.

    He was convinced that the Gold-for-Oil deal was not the best way to reduce gasoline prices at the pump.

    He stated unequivocally that the country’s ability to refine its own crude oil could lower gasoline prices.

  • COPEC anticipates a drop in fuel price over “gold-for-oil policy

    COPEC anticipates a drop in fuel price over “gold-for-oil policy

    The government’s acquisition and distribution of goods from its “gold-for-oil” strategy to Oil Marketing Companies, claims the Chamber of Petroleum Consumers, Ghana (COPEC), is to blame for any potential reduction.

    However, Duncan Amoah, COPEC’s executive director, wants the commodity’s distribution to be accelerated in order to let prices fall and protect customers.

    “The data related to this gold-for-oil arrangement is particularly important.
    According to Citinewsroom.com, “We should entirely stop the politicians from intervening in fuel or trade if it doesn’t solve the situation with the rising fuel prices and the weakening cedi.”

    “Because that will not be the situation Ghanaians are clamouring for. The numbers they will put up for the coming week will determine whether we are able to stimulate the market downwards or we are able to sustain prices where they are. Or there are some benefits to be derived as a people. If there are no benefits, then it will be difficult to go to the Bank of Ghana (BoG) to ask for money to trade in oil, we will be burnt on all sides,” Duncan Amoah added.

    Meanwhile, the price of petroleum products has increased in the second pricing window of January which took effect on Saturday 21, 2023.

    The development has since been attributed to the recent depreciation of the cedi against major trading currencies despite witnessing some appreciation during the festive period in 2022.

    To mitigate the situation, government has taken delivery of the first consignment for its ‘Gold-for-Oil’ policy for about 41,000 million metric tons of petroleum products.

    The petroleum products are expected to be discharged and sold by state-owned enterprise BOST to Bulk Oil Distributing Companies (BDCs) across the country.

    Vice President, Dr. Mahamudu Bawumia, in November 2022 first announced government’s plan to undertake the gold-for-oil initiative. The deal was hinged on buying oil products with Ghana’s gold instead of the US dollar.

    Dr. Bawumia on Facebook earlier explained that the usage of gold to purchase oil would also address Ghana’s dwindling foreign reserves as well as reduce demand for US dollars by oil importers.

    “It will fundamentally change our balance of payments and significantly reduce the persistent depreciation of our currency,” the Vice President earlier wrote.

    Under the policy, government believes that using gold to purchase oil products would also bring stability to the exchange rate market and ensure domestic oil operators do not solely depend on foreign exchange to import products.

  • There is no justification for transport fares to stay high – COPEC

    According to Duncan Amoah, the Executive Secretary of the Chamber of Petroleum Consumers (COPEC), with the current decreases in fuel costs, commercial transport providers must act in good faith and lower their pricing.

    He said that during the first pricing window, which begins on December 16, 2022, fuel costs might drop to GHC 15.00.

    The millions of Ghanaians who are looking on our commercial transport companies to demonstrate good faith with them during these trying times can count on us to use your platform to our advantage.

    “The last time commercial transport fares were adjusted; you were looking at fuel prices hovering around GH¢13.00. Then they did the 19% [hike in transport fares], then we jumped to GH¢16.00, diesel went up to about GH¢23.00, and then they [transport operators] came back to add another 20%, which escalated transport fares completely,” he is quoted by citinewsroom.com

    Duncan Amoah explained that fuel prices are expected to reduce by almost GH¢8, a huge jump from what previously was.

    “At this point, diesel is not doing too badly, there has been some GH¢5 reduction, if you add what we are expecting on Friday, it will come to about GH¢15. From GH¢23 to GH¢15, GH¢8 is such a jump. We will be utterly disappointed if any of the commercial transport operators from Friday continue to make excuses that they have made losses in recent times that, so they are not going to reduce transport fares,” he added.

    COPEC however said it will engage transport operators on the need to reduce transport fares.

    “This will not be just a radio conversation; we will take steps equally to approach them to explain to them the need to drop the very high transport fares that Ghanaians are currently being charged.

    “Because if your fuel has done almost 30% to 40% drop, in the line of good faith and proper public interest arguments for any of the transport operators including the VVIP to reduce transport fares forthwith. We will expect that the kind of relief cedi is throwing to the economy currently, the kind of international benchmarks are throwing at fuel consumers. The commercial ‘trotro’ operators will not go to sleep on this and make excuses because there will be no justification for them to continue to charge high prices,” he said.

  • FLASHBACK: Punish those found guilty in financial rot – Adu Boahen

    According to the Executive Secretary of the Chamber of Petroleum Consumers (COPEC), the government can lower fuel taxes without suffering a reduction in revenue.

    According to an internal assessment, the government would typically lose somewhere around GH800 million if it had to pay all the taxes that the trotro or commercial transport companies are demanding.
    Is all of this money lost? “No, that’s the solution,” he said.

    “I really think we need to find a way – either it’s a fast-track court or whatever it is – to be able to really just focus on ensuring that people are brought to book; that for me is the biggest deterrent.

    “We can put in place all the structures and so on, but if people are not punished for acts they committed there is no deterrent – and therefore they will get back to doing the same old thing.”

    Read the full story originally published on November 5, 2019, by thebftonline

    Government must be more punitive and deal with perpetrators of criminal acts to prevent a recurrence of the rot in the financial sector, a Deputy Finance Minister – Charles Adu Boahen, has said.

    Even though the government through the Attorney-General has charged a former Chief Executive Officer (CEO) of the defunct Capital Bank, William Ato Essien, for his alleged role in the collapse of the bank and two others, Mr. Adu Boahen reckons stringent sanctions are needed to prevent a recurrence.

    Speaking as one of the panelists at the closing of the 8th Ghana Economic Forum (GEF) in Accra, he stated: “I think one thing that has not worked well is the sanctions/punishments for those who perpetrated criminal acts; and that has been primarily because the courts have not worked as they should.

    “I really think we need to find a way – either it’s a fast-track court or whatever it is – to be able to really just focus on ensuring that people are brought to book; that for me is the biggest deterrent.

    “We can put in place all the structures and so on, but if people are not punished for acts they committed there is no deterrent – and therefore they will get back to doing the same old thing.”

    He also suggested a credit rating system for banks, which will help with their interest rates and loans.

    The Bank of Ghana (BoG) in 2017 embarked on a comprehensive reform agenda to strengthen the regulatory and supervisory framework for a more resilient banking sector.

    A total of 16 universal banks which once operated in the country have been collapsed within two years as part of measures taken by the Bank of Ghana to cleanse the banking sector and make it more robust.

    On her part, Elsie Awadzi – a Deputy Governor of the Bank of Ghana, emphasised that reforms undertaken by the central bank have made the banking sector better – and urged the banks to deploy more technology in their operations.

    A senior partner at KPMG, Andrew Osei Akoto, commended the BoG for the “bold” measures it introduced into the banking sector, and added that it is time institutions are held to account in order to get the best of them to snowball into multinationals.

  • Today in History: Government will not run at a loss if taxes on fuel are scrapped – COPEC

    According to the Executive Secretary of the Chamber of Petroleum Consumers (COPEC), the government can lower fuel taxes without suffering a reduction in revenue.

    According to an internal assessment, the government would typically lose somewhere around GH800 million if it had to pay all the taxes that the trotro or commercial transport companies are demanding.
    Is all of this money lost? “No, that’s the answer,” he said.

    Executive Secretary of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah, has stated that government’s revenue will not be affected if it decides to respond to all the demands of transport operators.

    Commercial transport operators on December 6 embarked on a sit-down strike to re-echo their call for government to review the taxes and levies on petroleum products.

    The taxes and levies include Energy Debt Recovery Levy, 49p; Road Fund Levy, 48p, Energy Fund Levy, 1p, Price Stabilisation and Recovery Levy 14p; Sanitation and Pollution Levy, 10p; Energy Sector Recovery Levy, 20p; Special Petroleum Tax, 46p, and Primary Distribution Margin, 11p.

    “Per [the] calculation we have done in-house, if government was to give all the taxes that the trotro or the commercial transport operators are asking for, what government will lose generally will be something in the region of GHC800million. Is this revenue completely lost? The answer is no,” he said in an interview on Joy News.

    The strike has been suspended after an agreed stakeholder meeting was scheduled by the Presidency.

    According to Duncan Amoah the calls by the drivers is in their rightful place adding that if government heeded the calls, cost of goods and services will respond positively.

    “The calls by these transport operators is not a misplaced one. Every Ghanaian who buys petrol one way or the other has over the last few months had a course to complain about. The complaint has come in the form of what their pocket is recording for those who used to use about 200 cedis for the entire week today you need about 300, 320cedis in order to go about your week so there’s general hardship that these fuel prices increment has brought unto the people,” he explained.

    The COPEC boss added that “If government decided to suspend some of the taxes albeit momentarily for a period of a quarter, some of the high pump prices that we are seeing which has crossed 30cedis a gallon, could actually decelerate a bit so that food prices and cost of goods and services do not necessarily go up.”

  • Today in History: COPEC alleges presence of adulterated diesel on market

    The Chamber of Petroleum Consumers alleged that there was adulterated fuel on the market.

    According to the Chamber, this is due to the presence of a fuel smuggling cartel in the country.

    Read the full story originally published on November 30, 2019, by gbcghanaonline/a>

    The Chamber of Petroleum Consumers, COPEC, is alleging the presence on the Ghanaian market, of adulterated diesel, also called ‘black oil’.

    Speaking to GBC’s Radio Ghana, Executive Secretary of COPEC, Duncan Amoah, said there is a fuel smuggling cartel in the Country that has enabled the business to thrive.

    He also spoke about the lack of political will to stem the activities of the cartel, putting fuel consumers at risk.

    Mr Duncan Amoah also spoke about the implications of using substandard fuel in vehicles.

    Source: Ghanaweb

  • Petrol & diesel prices likely to decline, LPG to go up – COPEC

    A brief and marginal relief may soon be on the way as the Chamber of Petroleum Consumers (COPEC) in its latest checks ahead of the second oil pricing window in November is stating that petrol and diesel are projected to see a price decline while the price of Liquefied Petroleum Gas (LPG) is expected to be adjusted upwards.

    Ahead of the second pricing window which is expected on Wednesday, November 16, COPEC in a statement signed by its General Secretary, Duncan Amoah said: “international benchmark for LPG has seen an increase of about $32 from $598.27 to $630.56,” which he said, “could be expected to lead to an increase in retail price on current retail averages of 12.10/kg to a likely retail price of 13.51/kg.”

    To this end, what it literally means is, the price of petroleum is likely to move downwards to GH¢16.07 per litre from the current average of GH¢17.42 per litre.

    Same goes for diesel, as the expected retail price could decline from the current average of GH¢23.43 per litre to an average of GH¢20.25 per litre.

    The biggest gainer and scare will however be liquefied petroleum gas, which is expected to rise from GH¢12.10 per kilogram to a likely retail price of GH¢13.51 per kilogram.

    COPEC said the expected decline in the prices of petroleum and diesel is largely due to a “stronger intervention by the Bank Of Ghana with specific emphasis on petroleum import and space through targeted forex auctions.”

    The Chamber, once again, reiterated the need to revamp the Tema Oil Refinery to complement the country’s energy demands.

    “We entreat the Bank of Ghana to not make this intervention in the forex supply a nine-day wonder but to step up efforts to guarantee the needed forex to particularly the petroleum importation market while reminding our leaders on the urgent need to fix and operationalise the currently idle Tema Oil Refinery to contribute its quota to the much-needed fuel security and stability of the cedi whiles encouraging a rethink of the strategic role originally assigned the Bulk Oil Storage and Transportation (BOST).”

     

  • Fuel prices not coming down anytime soon – COPEC

    Executive Director of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah, has said there is no indication that the prices of fuel will reduce on the international market.

    According to him, the prices are rather likely to increase despite hopes for a reduction.

    “it’s not coming down anytime soon,” he noted in an interview with NEAT FM’s morning show, ‘Ghana Montie’.

    Mr Amoah also stated that the upsurge in the prices of petroleum products will continue if the government does not up its game in solving the cedi depreciation.

    He predicted that petrol may sell as high as GH¢18 by December if the situation is not curbed as soon as possible.

  • Today in History: Fuel taxes not meant for development – Benjamin Nsiah

    The Head of Research at the Chamber of Petroleum Consumers (COPEC), Benjamin Nsiah, stated that fuel taxes are not to be used for development.

    He said: “One thing that worries COPEC is that we don’t mind paying taxes on fuel to develop Ghana but paying these taxes to offset debts of institutions that are not pulling their weight is a worry. Officials in these agencies do not execute their mandate and lazy about only being paid GH¢40,000 and GH¢25,000 a month.”

    Read the full story originally published on November 12, 2021 by happyghana

    Head of Research at the Chamber of Petroleum Consumers (COPEC), Benjamin Nsiah, says petroleum products are the engine of growth for any economy but argues the case is different in Ghana.

    Instead of developing with its petroleum and oil resources, the country is only retrogressing, he posits.

    In Ghana, there are 11 taxes, levies and margins on every litre of fuel purchased and this totals GH¢2.43 pesewas which are purposed towards the smooth operation of the government and its agencies.

    “One thing that worries COPEC is that we don’t mind paying taxes on fuel to develop Ghana but paying these taxes to offset debts of institutions which are not pulling their weight is a worry. Officials in these agencies do not execute their mandate and lazy about only being paid GH¢40,000 and GH¢25,000 a month.”

    “The Ghanaian pays 49pesewas on every litre of fuel purchased and this goes into the Energy Debt Recovery Levy. This money is used to pay the debt of TOR, people who mismanaged the economy and their work, and this debt only keeps on rising. The debt incurred by the Energy Sector is being paid by the struggling trotro driver although employees in the sector are being paid to make profits for the nation.”

    Some Oil Marketing Companies (OMCs) have increased the price of fuel by about 10 pesewas. A litre of petrol is currently being sold at about GH¢6.90 at most fuel vending stations.

    In the midst of the upward adjustments, the Ghana Private Road Transport Union (GPRTU) has urged drivers not to increase lorry fares.

    These developments have made drivers agitated. They have stated their unpreparedness to continue to put up with the high cost of fuel.

    Sixteen driver unions are demanding that the government scraps some taxes on petroleum products otherwise they will withdraw their services.

    Speaking in an interview with Don Kwabena Prah on Happy98.9FM’s Epa Hoa Daben political talk show, he indicated that a pesewa is paid to the Energy Commission for every litre of fuel purchased.

    “The Energy Commission is to advise the government and citizenry on the efficient use of energy but when was the last time you heard them promote the safe use of energy? The Commission makes GH¢23 million annually from taxes but they sit and do nothing and only pay themselves huge sums, using the rest to attend conferences in Glasgow whiles the petroleum consumer suffers.”

    According to Benjamin Nsiah, the Ghanaian is tired and can no more take this insensitiveness from the government and pay for government inefficiencies.

    Source: Ghanaweb

  • Fuel prices not coming down anytime soon – COPEC

    Executive Director of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah, has said there is no indication that the prices of fuel will reduce on the international market.

    According to him, the prices are rather likely to increase despite hopes for a reduction.

    “it’s not coming down anytime soon,” he noted in an interview with NEAT FM’s morning show, ‘Ghana Montie’.

    Mr Amoah also stated that the upsurge in the prices of petroleum products will continue if the government does not up its game in solving the cedi depreciation.

    He predicted that petrol may sell as high as GH¢18 by December if the situation is not curbed as soon as possible.

    Source: Ghanaweb 

  • Today in History: Fuel taxes not meant for development – Benjamin Nsiah

    The Head of Research at the Chamber of Petroleum Consumers (COPEC), Benjamin Nsiah, stated that fuel taxes are not to be used for development.

    He said: “One thing that worries COPEC is that we don’t mind paying taxes on fuel to develop Ghana but paying these taxes to offset debts of institutions that are not pulling their weight is a worry. Officials in these agencies do not execute their mandate and lazy about only being paid GH¢40,000 and GH¢25,000 a month.”

    Head of Research at the Chamber of Petroleum Consumers (COPEC), Benjamin Nsiah, says petroleum products are the engine of growth for any economy but argues the case is different in Ghana.

    Instead of developing with its petroleum and oil resources, the country is only retrogressing, he posits.

    In Ghana, there are 11 taxes, levies and margins on every litre of fuel purchased and this totals GH¢2.43 pesewas which are purposed towards the smooth operation of the government and its agencies.

    “One thing that worries COPEC is that we don’t mind paying taxes on fuel to develop Ghana but paying these taxes to offset debts of institutions which are not pulling their weight is a worry. Officials in these agencies do not execute their mandate and lazy about only being paid GH¢40,000 and GH¢25,000 a month.”

    “The Ghanaian pays 49pesewas on every litre of fuel purchased and this goes into the Energy Debt Recovery Levy. This money is used to pay the debt of TOR, people who mismanaged the economy and their work, and this debt only keeps on rising. The debt incurred by the Energy Sector is being paid by the struggling trotro driver although employees in the sector are being paid to make profits for the nation.”

    Some Oil Marketing Companies (OMCs) have increased the price of fuel by about 10 pesewas. A litre of petrol is currently being sold at about GH¢6.90 at most fuel vending stations.

    In the midst of the upward adjustments, the Ghana Private Road Transport Union (GPRTU) has urged drivers not to increase lorry fares.

    These developments have made drivers agitated. They have stated their unpreparedness to continue to put up with the high cost of fuel.

    Sixteen driver unions are demanding that the government scraps some taxes on petroleum products otherwise they will withdraw their services.

    Speaking in an interview with Don Kwabena Prah on Happy98.9FM’s Epa Hoa Daben political talk show, he indicated that a pesewa is paid to the Energy Commission for every litre of fuel purchased.

    “The Energy Commission is to advise the government and citizenry on the efficient use of energy but when was the last time you heard them promote the safe use of energy? The Commission makes GH¢23 million annually from taxes but they sit and do nothing and only pay themselves huge sums, using the rest to attend conferences in Glasgow whiles the petroleum consumer suffers.”

    According to Benjamin Nsiah, the Ghanaian is tired and can no more take this insensitiveness from the government and pay for government inefficiencies.

  • GUTA predicts shortage of goods during Christmas

    The Ghana Union of Traders Association (GUTA) is predicting a shortage of goods this festive season.

    GUTA recently led some traders in Accra to lock up shops in protest of the depreciating cedi and general economic difficulties.

    President of the Union, Joseph Obeng in an interview with Citi News said, the drop in value of the cedi against the dollar has eroded the capital of traders and has made them unable to import goods.

    “The capital of most businesses has eroded by about 50 per cent. So it looks like we will not be able to bring in the goods as we have done in the previous years. The prices may not also be as they used to be. I can foresee that happening because benchmark values have been reduced by over 60 per cent. So the consumers should not be looking at the traders, but rather the policymakers.”

    Dr Obeng tells Citi News that GUTA is in agreement with the President’s suggestions of industrialization and limited importations, but believes this must be done in areas where Ghana has a competitive advantage.

    “If we want to sustain our forex and ensure that the country is progressing, we are all for it, but if we want to industrialize and consume what is our own, we should be able to identify the areas we have the comparative advantage in Ghana. Importation has become so difficult these days, but how are the local manufacturers taking advantage? They are unable to take advantage because there is a thin line between the manufacturing here because the companies also import about 90 per cent of the production inputs.”

    Already, the Chamber of Petroleum Consumers (COPEC) has warned that should the prevailing conditions in the petroleum sector fester, there will be a shortage of petroleum products in the country ahead of the Christmas festivities.

    “If you look at the economic activities that occasion the last quarter of the year, we are not looking at the cedi doing any better, importations are going to double because of the festivities and the currency may still take a battering and once that happens you are expecting prices to go up further”, Executive Secretary of the COPEC, Duncan Amoah.

    Source: Citi News

     

  • Inhabitants of Cape Coast hoard gas ahead of Christmas

    Beginning on Tuesday, November 1, 2022, GOIL and Total Energies will charge GHS 17.99 per liter for gasoline and GHS 23.49 for diesel.
    The price of diesel fuel in Ghana at the GOIL fuel pumps as of October 26th was 15.99 Ghanaian cedis (GHS) per litre, which is more expensive than this.

    Since around two weeks ago, the price of liquefied petroleum gas (LPG) has increased to GHS 8.40.

    The Chamber of Petroleum Consumers (COPEC) on Monday predicted a 10 percent increase in prices of LPG with petrol and diesel likely to see an increase between GHS 3 and GHS 8 effective Tuesday, November 1, 2022.

    According to COPEC, this has been as a result of the international price movements of petroleum products.

    But some drivers, speaking to ATL FM NEWS are appealing to the government to do something about the fuel prices as the increment is affecting their business.

    Speaking to one of the workers with the KI Energy gas station in Cape Coast, the news team gathered that many inhabitants of Cape Coast have begun hoarding gas ahead of the Christmas festivities.

    According to him, many who fear the price of the LPG may increase again are currently buying more of the product to save for the festive season.

    Meanwhile, the worker who pleaded to be anonymous lamented the current economic situation in the country and called on the government to intensify its efforts at redeeming the situation.

  • COPEC predicts further increases in fuel prices

    The Chamber of Petroleum Consumers (COPEC) has predicted a 10 percent increase in prices of Liquefied Petroleum Gas (LPG) with petrol and diesel likely to see an increase between GHS 3 and GHS 8 effective Tuesday, November 1, 2022.

    COPEC says this has been as a result of the international price movements of petroleum products.

    Currently, some Oil Marketing Companies are selling petrol at GHS 17 while diesel sells at GHS 19.

    “We are certain that one of the key things confronting the generality of Ghanaians currently has to do with fuel prices that keep increasing week in, week out. As of October 28, we were doing an average GHS 14 for petrol while diesel was averaging between GHS 17 to GHS 19 a litre,” says Executive Director of COPEC, Duncan Amoah.

    The government has currently assured that steps are being taken to “secure reliable and regular sources of affordable petroleum products”, to bring reprieve to consumers of the product.

    “Government is working to secure reliable and regular sources of affordable petroleum products for the Ghanaian market. It is expected that this arrangement, when successful, coupled with a stable currency will halt the escalation of fuel prices and bring relief to us all,” President Akufo-Addo assured.

    Industry players have warned of tougher times ahead as prices of petroleum products continue to increase.

    In an interaction with Citi News, the Executive Director of COPEC, Duncan Amoah said there is likely to be a further increase effective Tuesday.

    “Most of us expected that, the presidential address will attempt some urgent solutions to the situation we find ourselves in with respect to forex and ways to bring down prices. Unfortunately, the only bit we heard was that we are going to explore fuel from cheaper places, we do not have the details. To say that we are not probably out of the woods yet as far as fuel price increases will be an understatement. On Tuesday, expectations within the downstream market could go up again.”

  • Fuel prices to hit GH¢18 by December if government does not wake up – COPEC

    As long as the government does not step up efforts to address the depreciation of the cedi, the costs of petroleum products will continue to rise, according to Duncan Amoah, Executive Secretary of the Chamber of Petroleum Consumers (COPEC).

    If nothing is done about the issue by December, gasoline prices might reach GH 18 by then.

    Duncan was cited as saying, “We are already nearing GH15 per litre for petrol, the cedi has obviously not reached a point of stability, and if it keeps sliding, a further increase is predicted to occur in the first week of November.”

    “Between now and December, Ghanaians may have to spend between GH¢17 and GH¢18 a litre for fuel. I do not want us to get there and I think that authorities and those within the policy space will need to wake up from their sleep,” he added.

    As of October 17, 2022, petrol is selling for GH¢13.10 per litre from an earlier price of GH¢11.10 while diesel is going for GH¢15.99, from a previous price of GH¢13.90.

    The significant hike has been attributed to the marginal increase in the price of crude oil on the global market and the persistent depreciation of the cedi against the US dollar.

    Meanwhile, the cedi is currently selling at GH¢12.50 at some forex bureaus in the country.

  • Fuel prices to go up further by 10% effective October 16 – COPEC

    Prices of petroleum products are expected to see a rise again beginning Sunday, October 16 as part of the adjustments for the 2nd pricing window of this month.

    Fuel prices across pumps within the country are projected to see an increase of an average of 10% for both petrol and diesel, according to the Chamber of Petroleum Consumers (COPEC).

    From observed figures within the downstream industry, and forex movements, COPEC anticipates an average price escalation of about 10.12% for both petrol and diesel based on the increase in price of crude oil on the international market and the depreciation of the cedi.

    “Between the current window and the next window due, 16 Oct 2022, Crude oil price is observed to have seen an increase of 3.66% from $89.46 to $92.73 per Barrel, whilst the Dollar index has further gone up by about 4.08% from GHS10.21 to GHS10.627 per Dollar as per Government rate (Conservative figures) though actual market rates are quite higher currently,” COPEC observed.

    The corresponding international processed Petroleum prices for the next window averages as follows:

    Petrol: $964.75/MT (up by 15.72%)
    Diesel: $1,097.15/MT (up by 9.60%)

    Internally, the projected average price of both Petrol and Diesel for the next window are expected to be GHS13.77/L, showing a price jump of 10.12% over the current Mean fuel Prices for both products across the various OMCs trading.

    From observed data, Petrol, which is currently selling at an industry average of GHS11.06/L is likely to be sold at GHS12.38/L (11.88% higher) from 16 October 2022 whilst Diesel currently selling at an industry average of GHS13.95/L is likely to be sold at GHS15.16/L. (8.72% higher)

    For LPG, the international price is estimated to hit $618.34/MT (up by 3.81%); the price of LPG is likely to go up by 5.04% to sell around GHS10.21/kg.

    Considering no sudden jerks in Crude Oil pricing, that may lead to changes in Petrol, Diesel and LPG Prices on the International market, the Mean Ex-pump prices are expected to be within the projected figures by +/-2% as indicated below:

    Petrol: GHS12.12/L to GHS12.63/L
    Diesel: GHS14.86/L to GHS15.46/L
    LPG: GHS10.01/kg to GHS10.41/kg

    COPEC in a statement, therefore, implored the petroleum service providers to be considerate of applying the full force of the indexes in their pricing.

    It added: “We are without equivocation, mindful that, the projected figures are conservatively lower than what the actuals could be due to the continuous depreciation of the local currency.”

    It further admonished: “Government to do whatever it deems necessary, to ensure an urgent stabilisation of the cedi to the Dollar exchange rate in order to prevent pricing of petroleum products getting to an impending disaster as the effect of these steep increases in fuel prices cuts across all sectors of the local economy and to also further ensure some drastic reductions of some of the existing taxes and levies on Petroleum products to help ease the burden on consumers.”

  • Stop creating artificial shortage COPEC to fuel retailers

    The Chamber of Petroleum Consumers (COPEC) is calling on the National Petroleum Authority (NPA) to check the issue of artificial shortage at some fuel stations.

    This follows complaints from some motorists concerning the lack of petroleum products at some pumps in particular areas in Accra.

    In a Citi News interview, Head of Research at COPEC, Benjamin Nsiah noted that NPA must sanction the fuel stations that create artificial fuel shortages.

    “COPEC has already been mentioning this particular event to the authorities, specifically NPA to ensure that when prices are about to change, they visit some of these retail outlets to check their tanks and ensure that there are products available. If any retail outlet comes to say there are no products, it means it is an intention to create a shortage.”

    Mr. Nsiah further allayed all fears of fuel shortage, adding that there was enough stock in the system to last a month.

    “We believe that there is not going to be fuel shortage in the coming month. What we know is that there is enough fuel to serve the market.”

    Source: Citi News

  • Resolve issues surrounding LPG supply to end tanker drivers strike COPEC-GH appeals to Gov’t

    The Chamber of Petroleum Consumers Ghana (COPEC-GH) wants government to as a matter of urgency address pending Liquefied Petroleum Gas (LPG) issues with industry players to restore the supply of the product in the country.

    It said the Ghana National Tanker Drivers Association (GNTDA); Liquified Petroleum Gas Marketing Companies (LPGMCS) and the Ghana Liquefied Petroleum Gas Operators Association (GLIPGOA) had withdrawn their services effective yesterday because their concerns had lingered for a long.

    A statement issued in Accra yesterday by COPEC Executive Secretary, Duncan Amoah, said consumers would continue to bear the brunt as all LPG outlets remain non-operational.

    It said the concerns of the industry players included general welfare and a ban on all new LPG sites which has affected their operations and finances over the past five years.

    According to COPEC, the strike by GNTDA which energized the others to join, followed unsuccessful attempts by the group to get their issues resolved both by the Ministry of Energy and the National Petroleum Authority (NPA).

    Touching on the genesis of the problems, it said after the Atomic gas explosion about five years ago, the NPA under its former Chief Executive, HasanTampuli, directed the freezing of the permits of a number of stations under construction.

    “Several years down the line and this ban is yet to be lifted thereby leaving the various companies who had invested heavily in the construction of these retail points heavily debt distressed as they are constantly harassed by their banks and other finance entities who had advanced various loans to put up these stations,” it said.

    According to COPEC, the ban had led to about 11 per cent reduction in volumes for the operators over the past one year instead of a projected 15 per cent increase year on year.

    The statement said efforts by actors within the LPG space to get the issues resolved had all proven futile because authorities do not seem to understand the pressures the operators were going through.

    “We call on the NPA under the leadership of Dr Mustapha Hamid to ensure a speedy resolution of the deadlock between the operators and authorities to ensure the immediate reopening of these outlets across the country.

    “We further call on the Energy Ministry to ensure all grievances of the various operators within the LPG space are attended to forthwith without fail as the looming pressures on the Ghanaian LPG user could only exacerbate with further delays in addressing these challenges,” it said.

    Source: ghanaiantimes.com.gh

  • Fuel prices may drop between 3% and 6% from August 1 – COPEC

    Prices of petroleum products may go down between 3% and 6% from August 1st, 2022.

    According to the Chamber of Petroleum Consumers (COPEC), the expected reduction will have been bigger if not for the depreciation of the cedi against the U.S dollar.

    The drop in fuel prices will be the second consecutive time since oil prices started falling on the world market.

    “What, we picked from the market for the first window of August [2022] is an indication that prices at the pumps should have gone down significantly. The unfortunate thing at this point happens to be with the currency [cedi]. As I speak with you, over the two weeks window, the FX has seen some depreciation, from about ¢8.30 to about ¢8.90 pesewas currently”, Executive Secretary of COPEC, Duncan Amoah, disclosed.

    “And so that could on its own erode the reductions that you and I could have seen at the various pumps”, he added.

    Mr. Amoah urged government to take a second look at the deregulation policy to cushion consumers against the high fuel prices.

    “We have said on a good number of occasions, that the earlier we take a second look at this whole regulation programme, the better it would be”.

    Source:myjoyonline.com