Ghana’s petroleum downstream regulator – National Petroleum Authority (NPA) – has granted approval to some private entitiesto export petroleum products from Ghana to The Gambia and Senegal.
This adds to the existing West African countries that Ghana exports petroleum products to, notably Mali, Niger, Burkina Faso, Cote d’Ivoire and Togo.
In the year 2023, the volume of petroleum products re-exported and transited to these neighbouring countries amounted to 385,154,100 litres.
Delivering an address at the Ghana International Petroleum Conference (GhiPCon) on the theme: “The Petroleum Industry: Building a Future for Growth, Efficiency, and Sustainability”, the NPA Boss, Dr. Abdul-Hamid, said the increase in the volume of export was proof of NPA’s outstanding successes in its effort to curb illicit fuel activities in the country.
Currently, the industry has registered over 3000 service providers with high local participation, that delivers over four million metric tonnes of petroleum products annually for Ghana and beyond.
The development has positioned the industry to become a key contributor to the growth of Ghana’s gross domestic product (GDP).
“We estimate that the sector had a monetary value of over GH¢71 billion, representing about 84% of the country’s 2023 GDP.
“In the past seven years, the industry returned an average annual value of over GH¢35 billion,” he disclosed.
He said given the dynamic nature of the downstream petroleum industry, NPA was committed to using technology and innovation to remain relevant in the sub-region by formulating and implementing innovative strategies and policies that would ensure that the industry remains efficient and profitable and at the same time ensure consumers get the best value for money.
According to him, with the new transparent automatic price adjustment formula, pricing had gradually been reformed from an annual regulated price with unpaid subsidies to bi-weekly and daily regulated price.
The NPA boss stressed that the Authority had declared zero tolerance for toxic fuel and, as a result, Ghana, Kenya , Tanzania, Uganda, Morocco presently consume low sulphur fuels with typical import at less than 50 ppm, with a roadmap for local refineries to comply.
Dr. Abdul-Hamid noted that NPA had rolled out technology-based schemes and projects, such as the petroleum marking scheme, bulk road vehicle tracking project, electronic cargo tracking system, and the enterprise relational database management software, to efficiently monitor and ensure the integrity of the quality and quantity of petroleum product delivered to consumers.
Meanwhile, the Minister of Energy, who read a speech on behalf of the guest of honour, Vice-President Dr. Mahamudu Bawumia, applauded NPA for how it strategically managed the “Gold for Oil” programme, including the current Cylinder Recirculation Model (CRM), in a manner that has boosted investors’ confidence in the sector.
According to him, these efforts, coupled with a robust policy framework, have incentivised the private sector to invest more and contribute significantly towards realising Ghana’s policy target of 50% LPG penetration by 2030.
He challenged NPA to continue to invest in infrastructure, leverage cutting-edge technology, and enhance our supply chain resilience to secure our energy future.
He said “with the geopolitical tensions to technological advancements and environmental concerns, our strategies must be robust, innovative, and adaptable.”
He also gave an assurance about government’s commitment to continue to promote and explore policies that enhance Ghanaian content, support capacity building, and create opportunities for the Ghanaian people.
This, he believes, can guarantee that the benefits of our resources are widely shared, while ensuring the development of our local workforce and businesses.
Source: https://energynewsafrica.com