The National Petroleum Authority (NPA) has reaffirmed that ensuring the continuous availability of petroleum products remains its top priority as Ghana manages fluctuations in fuel prices and supply conditions.
Director of Economic Regulation and Planning at the NPA, Abass Tasunti, said the regulator’s primary responsibility is to ensure that petroleum products remain available to consumers at all times, noting that supply shortages would have far greater consequences for the economy than changes in pump prices.
Tasunti explained that the availability of petroleum products must come before concerns about the price consumers pay, given the potential economic disruption that could result from shortages.
“You know, we keep seeing at NPA that our topmost priority as a regulator is to ensure availability of petroleum products at all times because trust me, if the fuel was not available in the first place, I’m not sure you would be more concerned about the price you’re paying at the plant. Our interest would be to ensure that you get the product.”
He warned that a disruption in the supply of petroleum products could have serious consequences for Ghana’s economy, particularly given the importance of fuel to transportation, businesses and other economic activities.
According to him, the NPA therefore maintains a supply planning system that seeks to balance petroleum produced domestically with imports to ensure that the country has adequate stocks.
Tasunti disclosed that Ghana currently has a little over five weeks of average diesel consumption in stock, while explaining that the figure does not mean the country stops receiving new supplies during that period.
“And so our priority has always been to ensure that petroleum products are always available. So we always keep, that’s why we plan. And so we always have a plan that ensures that we balance domestic production with imports to ensure there’s adequate stock.”
He explained that the stock estimates provided by the NPA are based on current consumption levels and are continuously replenished as new consignments arrive in the country.
Tasunti said petroleum products are continuously being discharged at the country’s facilities to replenish stocks and maintain supply.
“Whenever we say we have a little over five weeks or a little over four weeks, for example, it doesn’t mean that we are consuming that and nothing else is adding up.
“As we speak right now, everything is discharging. So we never have actually a free time at the facilities that discharge petroleum products.”
He said the continuous flow of petroleum products into the country forms part of the NPA’s broader strategy to prevent shortages and maintain adequate stocks.
Tasunti also highlighted the role of the NPA’s LICAM programme in coordinating and planning petroleum imports.
The NPA’s approach comes as petroleum prices continue to be influenced by developments in the international oil market, exchange-rate movements and other factors affecting the cost of petroleum imports.
The Authority’s emphasis on maintaining adequate stocks is intended to ensure that fluctuations in market conditions do not translate into shortages that could disrupt economic activity across the country.
Source: Newspyramid.com
