The Executive Director of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah, has warned that fuel prices in Ghana could continue to rise as global demand, higher premiums and increased logistics costs put further pressure on the petroleum market.
According to Mr Amoah, Ghana has not yet reached the end of the current fuel price pressures, despite measures introduced to cushion consumers from the impact of rising diesel prices.
Speaking on JoyNews’ The Pulse on Wednesday, September 16, Mr Amoah said the situation could worsen as demand for diesel increases during the winter season.
He cautioned that fuel prices could remain elevated even if current geopolitical tensions ease, citing other cost pressures within the global petroleum supply chain.
“Prices will continue to go up. The only unfortunate bit is that at this point, we are also going to have to deal with the premiums, the increased premiums, the logistics costs that continue to be high,” he said.
Mr Amoah explained that while geopolitical developments have contributed to the recent increases in petroleum prices, seasonal demand, higher insurance premiums and elevated logistics costs could continue to push prices upward.
He noted that these factors could sustain pressure on fuel prices even if some of the geopolitical challenges affecting the global oil market are resolved.
COPEC Calls for Increased Local Refining
The COPEC Executive Director also called for greater reliance on local refining as part of efforts to reduce Ghana’s exposure to international petroleum market pressures.
He argued that strengthening domestic refining capacity could help reduce some of the additional expenses associated with importing refined petroleum products.
According to Mr Amoah, increased local refining could “eliminate some of the additional costs incurred when refined petroleum products are imported at higher premiums.”
He therefore stressed the need for Ghana to explore measures that would strengthen local refining and reduce the country’s dependence on imported refined petroleum products.
