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Mr. Hosi: Fuel shortage in Ghana: ‘We have one month stock of supply’

The Chief Executive Officer of the Ghana Chamber of Bulk Oil Distributors, Senyo Hosi says his outfit has in stock one month supply of fuel.

Mr. Hosi stated that stakeholders, including the National Petroleum Authority (NPA), Energy Ministry, Bank of Ghana (BoG), and the BDCs, are trying to prevent any fuel shortages in the nation in an interview with Citi FM on Wednesday, June 22.

“As a sector, the Central Bank, the Energy Ministry, and the National Petroleum Authority (NPA) are working together to manage and reduce that potential risk.

“The Central Bank has been acting quite proactively for our market since March, but that also is limited. I believe they have now reduced it to between 20 and 25 percent of our need from its initial level of roughly 50 percent.

‘We are working together with the Central Bank to come up with what we call Oil FX Market, so we can actually create a lot more predictability and certainty for the international suppliers,” he explained.

“There is the risk of a crisis but we don’t have a crisis. That crisis will always exist provided these factors are examined.

“We have stocks to last you a month and a few more to come but that does not mean that there is enough comfort or certainty from the international market when they are seeing challenges with us making good our dollar payment,” Mr. Hosi added.

He was replying to a Bloomberg article that said Ghana would soon suffer a gasoline crisis because the BDCs might not have access to enough funds to pay for the commodity.

In light of the central bank’s dollar rationing in the wake of an increase in oil prices brought on by Russia’s invasion of Ukraine, Ghana is reportedly facing an impending gasoline scarcity.

The country of West Africa’s monthly petroleum import cost increased from $250 million in January to $450 million in May.

Licensed bulk distributors can no longer make up the difference on the black market because the BoG is reportedly only offering roughly $100 million per month at its foreign exchange auctions.

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