The government has determined that diesel prices will not escalate to GH¢22 per litre during the initial pricing window of October, following strategic interventions designed to protect consumers from escalating fuel costs.
These protective measures were established through an emergency consultation between government officials and major stakeholders within the petroleum industry, aimed at reducing the burden of rising international fuel prices on the general population.
In response to this initiative, both Sentuo Oil Refinery and Tema Oil Refinery (TOR) have committed to maintaining their petroleum product pricing to Bulk Distribution Companies (BDCs) at the rates established during the preceding pricing window.
Additionally, the government has implemented a temporary suspension of the GH¢1 Energy Sector levy (D-Levy) on diesel throughout October, a measure anticipated to further constrain the projected increase in retail fuel prices.
Following the meeting, Godwin Edudzi Tamakloe, Chief Executive Officer of the National Petroleum Authority (NPA), disclosed these interventions, emphasizing that their primary objective is to prevent diesel prices from attaining the forecasted threshold of GH¢22 per litre.
“The agreement reached today stipulates that both Sentuo and TOR will sustain the pricing structure they offered to BDCs during the previous pricing window,” he communicated.
Mr Tamakloe further elaborated that the preservation of refinery pricing mechanisms would serve to diminish the consequences of mounting petroleum costs on the national market.
He noted that the Finance Minister had similarly consented to the suspension of the GH¢1 levy for October, with the provision that this levy may be reinstated should market circumstances warrant such action.
According to the NPA CEO, preliminary assessments prior to government intervention projected diesel prices at approximately GH¢22 per litre during the October pricing window.
“Through the government’s intervention measures, prices are now anticipated to remain below GH¢20. The government recognizes the necessity for intervention,” he remarked.
These protective measures are scheduled to commence with the first pricing window of October as the government endeavors to mitigate the effects of rising fuel prices on consumers.
