The National Petroleum Authority (NPA) has revealed that it will be increasing prices of fuel effective June 1, 2020.
According to the Authority, the move follows an increment in the BOST Margin by Cabinet which was announced by the National Petroleum Authority (NPA) over the weekend.
According to him, the increment is helping in the maintenance the weakening facilities at BOST, a strategic asset of the State.
In a press release, Executive Secretary of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah revealed that prices of fuel at the pumps will shoot upwards between five and eight percent.
He said “Consumers will most likely have to pay more for fuel because world market prices, crude alone has done about 40%. With finished products such as gasoline, gas oil has also seen a sharp jump on the international market. It is quite certain that we will be doing between 5% and 8% [increase in fuel prices]
He further added that the BOST Margin has been increased from 3 pesewas to 6 pesewas for a litre of all petroleum product.
However, Managing Director of Bulk Oil Storage and Transport Company (BOST), Edwin Provencal earlier in March urged government to increase its Margin from three pesewas per litre to nine pesewas.
BACKGROUND
It has been 3 pesewas per litre on BOST Margin since 2011. It almost went up to 6 pesewas per litre in December 2019, but the measures were retracted following the pressure on government by opposition parties as well as CSOs such as the Chamber of Petroleum Consumers{COPEC}. Meanwhile, Executive Secretary of the Chamber of Petroleum Consumers, Duncan Amoah says apart from the increment in the BOST Margin, recent increment on the world market will also result in an 8 percent rise in prices at the pump.
Story by: Magdalene Maame Abena Serwaa Asante