A member of the New Patriotic Party communications team and energy expert, Kojo Nsafoa Poku, says Ghana is not currently facing a fuel shortage, but motorists should expect petroleum prices to remain high for several weeks.
According to him, although concerns have been raised about possible supply disruptions, the main risk for the country would be a situation where high prices are accompanied by actual fuel scarcity.
Speaking to Moro Awudu on Metro TV’s Good Morning Ghana, Poku said the country still has available petroleum stocks, and the recent concerns about shortages were caused by a temporary technical challenge.
“Over the weekend people started saying the shortage had already started, but that was not the case. There was a problem with software at the National Petroleum Authority, and because of that some lifting that was supposed to move products around the country did not happen. That created shortages in some areas, but the issue has been resolved,” he explained.
He said the National Petroleum Authority has assured stakeholders that Ghana currently has about three weeks of petroleum products in stock across the country.
However, he clarified that these stocks will be sold at current market prices rather than previous lower rates.
“People think the three weeks of products should be sold at the lower price, but that is not how the system works. The stock will be sold at the new higher price because if it is sold at the old price it cannot be replaced,” he said.
Poku noted that petroleum marketing companies will determine the new pump prices later in the week before the next pricing window begins.
“Prices will be determined by the petroleum players by Thursday or Friday before we move into the new pricing window on Monday,” he said.
He warned that the worst case scenario would be a situation where fuel becomes scarce while prices are also high.
“When prices are high but fuel is available and there are no queues at the pumps, people adjust even though it is uncomfortable. But when prices are high and there is scarcity, then you begin to see queues and people may stop using their cars because there is no fuel. We pray we do not get to that point,” he said.
On the outlook for fuel prices, Poku indicated that the current high prices may persist for some time due to the cost of crude oil already being processed by refineries.
“The expensive crude is already being moved to the refineries, so they will process that first. Because of that, prices may remain high for a while,” he said.
He added that relief could come later in the coming months if cheaper crude begins to enter the market.
“Maybe by the end of April we might start seeing prices coming down if cheaper crude begins to reach the refineries,” he said.
Source: metrotvonline.com
