High cost of petroleum products must change – Dr. Matthew Opoku Prempeh

Dr. Matthew Opoku Prempeh, Minister of Energy, is confident the high cost of petroleum products in the country may soon change.

The energy minister believes this may become a reality if key players such as the National Petroleum Authority (NPA) are thorough, fair, and principled in their work.

Addressing a delegation from the NPA in Accra, Dr. Prempeh, also known as Napo, charged them to put Ghana first during their negotiations and decision-making.

“Today, I met with a delegation from the National Petroleum Authority (NPA) to discuss their critical role as regulators in the petroleum downstream industry and issues concerning the pricing of petroleum products,” Dr. Prempeh posted on Facebook.

He added: “The NPA plays an important role in ensuring that the industry remains efficient and profitable while ensuring also that ordinary Ghanaians and businesses receive value for money. I admonished them that in this new era, I expect them to be conscious of the impact of their decisions and remember to put Ghana first during their negotiations and decision making.”

“I am sure that when authorities such as the NPA are thorough, fair, and principled, the high cost of petroleum products will be a rare phenomenon,” Dr. Prempeh stated.

Petroleum prices to go up by 5.7%

Meanwhile, petroleum prices are expected to go up by 5.7%, Osei Kyei-Mensah-Bonsu, the caretaker finance minister, has said.

Kyei-Mensah-Bonsu said the increment has become necessary because of the introduction of two new levies by the government.

Presenting the 2021 Budget in Parliament on Friday (12 March), Kyei-Mensah-Bonsu said: “I should note that on the basis of existing world crude oil prices, the implementation of the two proposed levies for sanitation and pollution as well as to pay for excess capacity charges would result in a 5.7% increase in petroleum prices at the pump.”

He said the COVID-19 pandemic has caused additional health spending which far exceeds the government’s annual budget for health care.

Kyei-Mensah-Bonsu also said the pandemic has brought unprecedented challenges to the country and that there is a need to provide resources to address these challenges and fund major projects being executed by the government.