The Chamber of Oil Marketing Companies (COMAC) has raised serious concerns about artificial fuel price increases within Ghana’s downstream petroleum sector, warning that certain practices by Bulk Distribution Companies (BDCs) could distort market prices and negatively affect consumers.
According to COMAC, some BDCs have begun adjusting prices in ways that do not align with the country’s official petroleum pricing framework, raising fears that such actions could undermine efforts to keep fuel prices stable.
Speaking during an interview, the Executive Secretary of COMAC, Riverson Oppong, cautioned industry players against manipulating supply or engaging in pricing practices that fall outside the established regulatory system.
Dr. Oppong stressed that the downstream petroleum market in Ghana operates within a clearly defined pricing window system, and any changes to fuel prices should strictly follow that structure.
Dr. Oppong explained that the country’s petroleum pricing structure is designed to ensure transparency and predictability in fuel pricing. Under this system, fuel price adjustments are determined within defined time frames, ensuring that market changes reflect actual supply costs rather than speculative activity.
“We operate a two-week window. This week we have a pricing window that will end on Wednesday, and the selling window will start on March 16.”
Dr. Riverson Oppong, Executive Secretary of COMAC
He pointed out that most petroleum products currently in circulation were imported before the recent geopolitical tensions affecting global oil markets. As a result, any immediate price increases cannot be justified under the current pricing framework.
“Every product that has been imported was brought in prior to the war. So when we have BDCs increasing prices to the OMCs, that is very worrying.”
Dr. Riverson Oppong, Executive Secretary of COMAC
Dr. Oppong emphasized that price adjustments within the downstream sector should be guided by the established pricing model rather than speculative expectations about future global oil prices.
Artificial Supply Practices Could Distort the Market
The COMAC Executive Secretary also warned against certain operational practices in the industry, including artificial product hauling and preferential selling arrangements, which he said could distort the fuel market.
According to him, these practices may create artificial shortages or supply imbalances, ultimately pushing prices higher for consumers.
“But the artificial hauling of products and artificial price increases, as well as preferential selling by some BDCs, are not organic and go against the pricing policy in the country. We need to be careful with that.”
Dr. Riverson Oppong, Executive Secretary of COMAC
He cautioned that such behavior within the supply chain could undermine government policies aimed at stabilizing fuel prices and protecting consumers from unnecessary price shocks.
Although the chamber had anticipated a modest rise in fuel prices earlier in the year, Dr. Oppong said the increases currently being observed appear to exceed initial projections.
He noted that COMAC had previously estimated that fuel prices could rise by between two and three percent due to market conditions. However, the figures now being discussed in some industry circles suggest much higher increases.
“Even though the chamber had predicted a two to three per cent increment in fuel prices before the war, moving from seven per cent to nine per cent within a selling window is not acceptable.”
Dr. Riverson Oppong, Executive Secretary of COMAC
The chamber believes such increases are inconsistent with the established pricing model and could unnecessarily burden consumers.
Government Efforts to Protect Consumers
Dr. Oppong also warned that attempts by some industry players to manipulate supply or pricing could undermine government efforts to cushion consumers against fuel price volatility.
He explained that authorities have explored various policy measures, including potential tax adjustments, to help stabilize pump prices. However, such efforts could be rendered ineffective if supply chain actors continue to inflate prices. “Otherwise, the government can take away some of the taxes, but BDCs will still make things difficult for us,” he remarked.
The statement reflects growing concerns within the industry about maintaining discipline and transparency across the petroleum supply chain.
Dr. Oppong clarified that the current fuel pricing window had already been determined before the escalation of tensions in the Middle East, meaning any global oil market developments will only be reflected in the next pricing cycle.
He explained that the present pricing window began during the first week of March and was based on existing import costs at the time.
“If there should be any effect on pricing based on how prices are formulated to the BDCs, that should take effect from March 16. That is when we expect to see the price adjustments in the country.”
Dr. Riverson Oppong, Executive Secretary of COMAC
Until then, COMAC insists that any artificial increases introduced into the supply chain would violate the petroleum pricing policy and could harm both consumers and the broader energy market.
The chamber is therefore urging industry stakeholders to adhere strictly to the established pricing framework to ensure fairness and stability in Ghana’s petroleum sector.
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