Fuel Costs Expected to Rise Again Soon

Dr. Riverson Oppong, Chief Executive Officer of the Chamber of Oil Marketing Companies (OMCs), has cautioned Ghanaians to brace themselves for a potential surge in fuel prices in the upcoming pricing window, despite the slight decrease observed at the pumps this week.

In an interview on Channel One TV on Tuesday, June 17, Dr. Oppong acknowledged that while consumers may currently enjoy a marginal drop in fuel prices, the relief is temporary. He pointed to ongoing global market trends and the unstable value of the Ghanaian cedi as key factors that are likely to push prices higher in the coming days.

“You may see a reduction now, but next week could be very different,” he stated, highlighting that the current drop is mainly due to the government’s temporary suspension of a GH¢1 tax component on fuel. Without this suspension, prices would have shot up by nearly 9.5 percent.

He explained that the impact of this suspension was minimal because the slight appreciation of the cedi was being counteracted by a simultaneous rise in international fuel benchmark prices. As a result, the reduction consumers experienced at the pump was only about 2 percent—far lower than expected.

Dr. Oppong expressed concern that the anticipated price increase could lead to hoarding by Bulk Distribution Companies (BDCs) and Oil Marketing Companies (OMCs), who may delay releasing fuel products in hopes of maximizing profits during the next pricing window.

He confirmed that the Chamber is in active discussions with stakeholders, including the Chamber of Bulk Oil Distributors (CBOD), to prevent such practices and reduce the burden on the Ghanaian public. Nonetheless, he maintained, “For the next window, for sure, things will go up.”