Creating national buffers and restarting TOR critical to fuel price stability

The Chamber of Petroleum Consumers (COPEC), has emphasized the urgent need for the Tema Oil Refinery (TOR) to resume operations and for the establishment of a strategic national buffer stock of petroleum products.

These measures, according to the Chamber, are critical for stabilizing fuel prices at local pumps.

During an engagement with journalists in Accra on Thursday, the Executive Secretary of COPEC, Duncan Amoah raised concerns over what he described as the country’s “current precarious” situation, noting that the Ghana may be heading for danger without the establishment of national buffers.

“Presently without buffers, we are simply living dangerously and I think that the officials or authorities must begin to think outside the box,” he cautioned.

He further noted that the Tema Oil Refinery (TOR) is in a favorable position to operate effectively and stressed the importance of ensuring its sustainability.

“TOR is looking very okay now and they need to secure their sustainability path and create a buffer otherwise, we face an initial price hike with another likely to follow,” he warned.

His plea follows a recent trend of consecutive fuel price increases at the local pumps during recent pricing windows, placing a growing burden on consumers.

The Chamber of Oil Marketing Companies (COMAC) recently projected a series of price increases for petroleum products starting December 1, with petrol projected to go up by 2-3%, a 3-5% rise for diesel, while LPG was projected to witness a 3% price increase per kilogram.

COMAC Chief Executive Dr. Riverson Oppong attributed these projected increases to rising global crude prices and a relatively volatile cedi against the US Dollar.