The National Petroleum Authority (NPA) has issued a strong warning to fuel stations operating without the legally required licenses, stating that such facilities face immediate closure and possible decommissioning.
The regulatory body emphasized its determination to enforce existing laws governing the petroleum downstream sector to safeguard public safety, ensure fair competition, and maintain the integrity of Ghana’s fuel supply chain.
The NPA reminded industry players of its statutory powers under the National Petroleum Authority Act, 2005 (Act 691), as amended.
The law mandates that all commercial activities involving the storage, distribution, and sale of petroleum products must be carried out only by licensed operators.
“This measure is crucial in curbing illicit activities that threaten the safety of consumers and undermine the regulated petroleum market.”
National Petroleum Authority (NPA)
Citing Section 11 of the Act, the NPA stressed that “a person shall NOT engage in a business or commercial activity in the petroleum downstream industry UNLESS that person has been granted a license for that purpose by the NPA Board.”
The legislation outlines a broad scope of regulated activities, including importation, exportation, shipment, processing, refining, storage, distribution, marketing, and sale of petroleum products such as crude oil, gasoline, diesel, liquefied petroleum gas, and kerosene.
The Authority further noted that the law restricts licensing to Ghanaians or foreign companies that have entered into registered joint ventures with Ghanaian partners, provided they meet the local content and participation requirements.
“A license under this Act may only be granted to (a) a Ghanaian, or (b) a foreign company in a registered joint venture relationship with a Ghanaian in accordance with the Ghanaian content and Ghanaian participation requirements.”
National Petroleum Authority (NPA)
NPA Enforces Compliance
Additionally, the NPA reminded all licensed operators of their obligation to display their permits prominently at their business premises.
The move, the Authority explained, not only assures customers of compliance but also serves as a deterrent to illegal operators.
“The Act also states that a license issued under this Act shall be conspicuously exhibited by the licensee in a prominent place on the business premises.”
National Petroleum Authority (NPA)
The NPA’s strict enforcement drive is timely, given the growing demand for fuel in Ghana and the increasing number of retail outlets. Ensuring compliance, they argue, will not only protect consumers but also enhance investor confidence in the sector.
Without proper regulation, the market risks being flooded with unsafe and poor-quality fuels, which could have severe consequences for both the economy and the environment.
The NPA underscored that these enforcement measures are not just bureaucratic formalities but essential safeguards.
By ensuring only licensed operators are active in the sector, the Authority aims to prevent operational hazards, protect consumers from potential exploitation, and maintain quality standards in the fuel supply chain.
With fuel prices and energy demand steadily rising, the petroleum downstream market is expanding rapidly.
The NPA’s latest action signals its readiness to maintain order and transparency within the industry.
“Our mission is to ensure safety, consumer protection, and sustained confidence in Ghana’s petroleum supply chain. This can only be achieved through strict adherence to licensing requirements and operational standards.”
National Petroleum Authority (NPA)
The coming months are expected to see intensified inspections and regulatory checks across the country.
Fuel stations found in breach of the law could face not only closure but also complete decommissioning, effectively removing their capacity to operate in the future.
For unlicensed operators, the message from the NPA is clear: comply with the law or cease operations immediately.
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