GOIL Company Limited has dispatched some two million liters of fuel to some stations in the country experiencing shortages.
According to the Company, the recent fuel shortage experienced by consumers at some of its stations across the country was as a result of operational challenges occasioned by supply disruptions.
Contained in a statement GOIL apologized for the inconvenience caused and stated that over two million liters will be dispatched today, April 12, 2023.
“GOIL wishes to acknowledge to the public, especially its valued customers, that there have been shortages of its super XP RON 95 at some of its stations… GOIL has meanwhile taken delivery of enough products and has just yesterday, taken adequate steps to dispatch over two million litres to our fuel stations experiencing the shortages. Over two million litres more will be dispatched today.”
Goil
Furthermore, Goil noted that it intends to release more stocks to the affected stations to help address shortages.
Gold for oil blamed for fuel shortages in the country
Meanwhile, the Chamber of Petroleum Consumers (COPEC) has blamed the mode of implementation of the Gold for Oil Policy for the likely shortage of fuel at some Goil fuel stations.
The Executive Secretary of COPEC, Duncan Amoah, revealed that the Gold for Oil Policy has disrupted the market and may have caused the shortage.
“If you are asking cash for Gold for Oil products when the other traders could simply bring them products on credit, you will simply lead to market disruptions. I will not be surprised to see that at some point we will abandon the programme altogether because it probably might not be bad if you look at the premise of it trying to save the forex situation. But as to whether the module where you bring in so much documentation before you are able to buy the products before that you need to make available ready cash, the market does not operate like that.”
Duncan Amoah
Following government’s plans to purchase oil from the UAE with gold to keep the country’s forex, many have kicked against the move questioning its sustainability. COPEC has in the past charged government to spell out the nitty-gritty of the gold-for-oil policy to Ghanaians.
It indicated that the policy seems dead on arrival because the oil delivered seems not to have any impact on pump prices as they keep increasing.
Similarly, projections by the Executive Director of the African Centre for Energy Policy (ACEP), Mr. Benjamin Boakye, noted that the Bulk Oil Storage and Transportation Company Limited (BOST) in Ghana is expected to face potential losses under the government’s gold for oil policy.
Mr. Boakye raised concerns about the import cost of fuel under the policy, which he argues is higher than the cost at which Bulk Distribution Companies (BDCs) in the country purchase fuel from BOST under the programme. As a result, he disclosed that BDCs are likely to undercut prices from BOST, causing losses for the company.
These assertions come amidst an anticipated decline in fuel prices at the pumps, expected to range between 3% and 10% which occured on March 16, 2023. Nonetheless, Mr. Boakye argued that the decline in fuel prices is not due to the government’s gold for oil policy.
Instead, he attributed it to the reduction in oil prices on the international market, with Brent and WTI falling to $73 and $66 per barrel respectively, adding that: “the relative stability in the cedi supports the decline in fuel prices.”
Moreover, government has been urged by industry experts to conduct thorough analyses to determine the best approach for balancing the country’s economic goals and BOST’s financial sustainability.
