The Ghana Chamber of Bulk Oil Distributors (CBOD) has dismissed concerns of an imminent fuel shortage, assuring Ghanaians that the country’s fuel supply remains stable.
Speaking to the media, Dr. Patrick Ofori, CEO of CBOD, emphasized that bulk distribution companies (BDCs) have adequate stock on hand and additional supplies are en route to Ghana.
“Most of the BDCs currently have products at anchorage, with vessels discharging petrol.
“In addition, over the next week or two, we’re expecting about 100,000 metric tonnes of petrol to arrive in the country.”
Dr. Patrick Ofori, CEO of CBOD
Dr. Ofori stated, “There is no cause for alarm, and our members do not face any capacity or financial constraints.”
While the CBOD has sought to calm fears, the Chamber of Oil Marketing Companies (OMCs) has expressed a more cautious outlook, raising concerns about potential supply disruptions in the near future.
Dr. Riverson Oppong, CEO of the OMC Chamber, outlined several factors contributing to Ghana’s fuel supply challenges.
Key among these is the suspension of the government’s Gold-for-Oil programme, which had been introduced as a mechanism to stabilize the fuel market.
“When the Gold-for-Oil programme started, it peaked, creating market imbalances that we warned about.
“Now that it has been suspended, we’re beginning to see the effects.”
Dr. Riverson Oppong, CEO of the OMC Chamber
Dr. Oppong explained that many BDCs reduced or halted imports during the programme’s implementation, leading to a lag in supply.
“The fuel shortage we find in the market has to do with the Premium Motor Spirit (PMS). BDCs ceased to import because of the dominance of Gold-for-Oil,” he added.
Challenges at Sentuo Oil Refinery
The situation has been further compounded by the operational halt at the Sentuo Oil Refinery, a key player in Ghana’s downstream petroleum sector. According to Dr. Oppong, the refinery has been unable to secure sufficient crude oil for processing, hindering its ability to meet market demand.
“For commercial and financial reasons, Sentuo has struggled to secure crude oil for refining.
“This has contributed to the current fuel shortages, although it is not the sole cause.”
Dr. Riverson Oppong, CEO of the OMC Chamber
Despite the challenges, Dr. Oppong provided some relief for consumers, announcing that a significant shipment of Premium Motor Spirit (PMS) was being discharged.
“These volumes will sustain the market for the next three weeks, with additional shipments expected soon,” he assured.
Dr. Ofori of CBOD also highlighted the robust capacity of the BDCs to manage Ghana’s fuel supply. He noted that the incoming 100,000 metric tonnes of petrol would further bolster reserves, providing a buffer against potential supply disruptions.
The government’s Gold-for-Oil programme, introduced as an innovative policy to exchange Ghana’s gold for petroleum products, had been intended to stabilize the market and reduce reliance on foreign currency for fuel imports. However, its suspension has left gaps in the supply chain.
Dr. Oppong criticized the programme’s design and implementation, stating that it created artificial peaks and disruptions in the market. “When you interfere with a market system without addressing structural issues, you create distortions that eventually catch up,” he said.
Collaborative Efforts Needed
The contrasting narratives from CBOD and OMCs highlight the need for greater collaboration and coordinated efforts among stakeholders in Ghana’s energy sector.
“We need to engage in constructive dialogue to address these challenges.
“The suspension of the Gold-for-Oil programme, combined with Sentuo Oil’s operational challenges and delayed imports, underscores the importance of aligning government policies with market realities.
Dr. Riverson Oppong, CEO of the OMC Chamber
Fuel shortages in Ghana, even temporary ones, can have far-reaching implications for the economy and citizens. Disruptions in the fuel supply chain lead to increased transportation costs, inflation, and public discontent.
“Stabilizing fuel supply is not just about meeting current demand; it’s about ensuring confidence in the system,” said Dr. Oppong.
While CBOD has assured Ghanaians that the fuel supply remains stable, the concerns raised by OMCs highlight vulnerabilities in the sector. Addressing these challenges will require proactive measures, strategic planning, and close coordination between the government and industry stakeholders.
The immediate arrival of additional PMS shipments provides a temporary reprieve, but long-term solutions will be critical to ensuring Ghana’s fuel supply chain remains resilient and capable of meeting future demand.
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