The National Petroleum Authority (NPA) has announced new fuel price floors that are expected to push petroleum product prices higher across the country during the second pricing window of March.
The revised minimum price thresholds will take effect from March 16 to March 31, setting new benchmark prices for petrol, diesel and liquefied petroleum gas (LPG).
Under the new structure, the price floor for petrol has been increased from GH¢10.46 per litre to GH¢11.57 per litre. Diesel has recorded a sharper rise, moving from GH¢11.42 per litre to GH¢14.35 per litre, while LPG has been adjusted upward from GH¢9.38 to GH¢10.67 per kilogram.
According to the NPA, all licensed operators must comply with the new thresholds in line with the Petroleum Products Pricing Guidelines (PPPG). The directive requires oil marketing companies and LPG marketing companies to align their prices with the approved minimum levels for the pricing window.
The Authority explained that the adjustments form part of its regulatory framework aimed at maintaining stability, transparency and compliance within the downstream petroleum sector.
Price Floors Not Final Pump Prices
The NPA clarified that the announced figures represent base price floors rather than final pump prices. The values exclude certain cost components that may influence the final amount consumers pay at the pump.
In particular, the quoted figures do not include premiums charged by international oil trading companies or the operating margins of bulk import, distribution and export companies. These elements, the regulator noted, will be determined independently by the respective companies under the PPPG.
Industry analysts say that once these margins, together with taxes, levies and operational costs, are added, the final pump price could rise significantly.
Under the new regime, petroleum marketers will not be permitted to sell below the approved price floors. From March 16, petrol cannot be sold below GH¢11.57 per litre, while diesel must not fall below GH¢14.35 per litre.
Market observers note that when dealer margins, transportation costs and other operational expenses are factored into the pricing structure, pump prices could increase substantially across the country.
Industry Players Warn of Higher Fuel Costs
Energy industry stakeholders have already cautioned that the current pricing window could witness one of the most notable fuel price increases in recent months.
The Chief Executive Officer of the Chamber of Oil Marketing Companies (COMAC), Riverson Oppong, earlier indicated that prevailing global developments could push retail fuel prices even higher.
According to him, petrol prices could rise to about GH¢17 per litre, depending on market conditions and geopolitical developments.
Another industry analyst, Duncan Amoah, also warned that consumers should brace for higher fuel costs. In an interview on March 12, 2026, Amoah projected that fuel prices could range between GH¢14 and GH¢16 per litre, depending on movements in global markets.
The projected increases are partly linked to rising crude oil prices on the international market, influenced by ongoing geopolitical tensions in the Middle East.
Reduced Price Competition Among Marketers
The introduction of firm price floors may also limit the ability of oil marketing companies to compete through discount pricing strategies.
In previous pricing windows, some large petroleum retailers occasionally reduced pump prices slightly to attract customers and maintain market share. However, the new regulatory thresholds mean companies will no longer be able to sell below the approved minimum prices.
Analysts say this could restrict aggressive price competition among marketers, although some companies may still absorb part of the rising costs internally in an effort to remain competitive.
Source: energycrossroad.com
