COPEC slams government over fuel price hike

The Chamber of Petroleum Consumers (COPEC) has accused  government of not taking steps to mitigate fuel prices in the country.

COPEC is asking government to use the windfall revenue that it is accruing as an Oil Producing Country as international oil prices go up to cushion the petroleum importers and Bulk Oil Distribution Companies (BDCs).

“Realistically, fuel should be trading around Ghc8.70 as we speak, what is happening is that the OMCs are taking a shave, BDC’s are taking a shave. The only one not taking a shave currently is the government. And the government continues to charge the full stream of taxes at the time when prices are over and above people’s pockets.

“The Stabilization and Recovery Levy of 15pesewas that as I speak with you is still being paid by consumers any time they buy fuel. Times are really rough,” the Executive Secretary for Chamber of Petroleum Consumers’ (COPEC), Duncan Amoah disclosed on Starr Today Tuesday.

He disclosed that last year Ghana made a windfall revenue in excess of Ghc2.5 billion which could have been used in mitigating the price at the pump for Ghanaians.

According to him, the Ghc2.5 billion were not monies put into budgetary support but rather it was used as additional inflows, “only for fuel to cross Ghc6.00. We have begun a new year and playing the same game with our revenue windfall number.”

“You have an upstream that is buoyant and active and then you have a downstream where the pressure currently is building. The upstream where Tullow and the ENI, COSMOS, and others are drilling and excavation of oil by the day is making a lot of added revenue for the country.

“Because as an oil-producing and exporting country if crude prices were 50 the revenue return you would rake in would it double when it gets to 100 like we have it today. So it is not for anyone to assume simply that the crude price has gone up is negative for Ghana. It is very, very positive for our revenue stream,” Duncan Amoah disclosed.