The Chamber of Petroleum Consumers Ghana (COPEC) has criticised the National Petroleum Authority (NPA) over its decision to introduce a minimum fuel price without setting a corresponding maximum price ceiling, warning that the policy could work against the interests of consumers.
COPEC’s Executive Secretary, Duncan Amoah, raised the concerns during an appearance on Business Focus on Monday, January 19, questioning the regulator’s focus on price floors without safeguards against excessive pricing by oil marketing companies (OMCs).
Mr. Amoah noted that some OMCs are currently selling fuel at prices as high as GH¢10.87 and GH¢11 per litre, arguing that profit margins in some instances exceed GH¢1 per litre.
“Why are we concentrating on a price floor without introducing a ceiling?” he asked, stressing that the absence of an upper limit creates room for unfair pricing practices.
According to him, fuel products can be sourced at approximately GH¢9.80 per litre, only to be sold on the market for between GH¢10.80 and GH¢11, a situation he said exposes weaknesses in the existing pricing framework.
Mr. Amoah further argued that, in its current form, the policy appears to disadvantage end users rather than protect them, contrary to its stated objective.
Meanwhile, the National Petroleum Authority has defended the policy, maintaining that the introduction of a minimum fuel price is designed to protect consumers. The regulator says the measure is aimed at sanitising the downstream petroleum sector and ensuring its long-term sustainability.