A coalition of policy and energy think tanks, including IMANI Africa, COPEC Ghana, INSTEPR, and Institute for Energy Security, is proposing a GHC1.65 reduction in petroleum prices to cushion consumers amid current economic pressures.
The proposal follows a directive by President John Dramani Mahama, instructing the Ministries of Energy and Finance to reassess the fuel pricing structure and identify areas where taxes, levies, and margins could be adjusted to provide relief.
While acknowledging inefficiencies within the downstream petroleum sector, the groups cautioned that any intervention must be balanced to avoid undermining the industry’s stability.
After consultations, they recommended a total reduction of GHC1.65 in the price build-up, suggesting the measure be maintained for two months, longer than the four-week window currently under consideration, before a review based on global market conditions.
They argue the proposal is fiscally manageable, noting that government is likely to benefit from increased revenue from crude oil production and exports during the same period.
Beyond the immediate relief, the groups are calling for broader, long-term reforms to address persistent fuel price volatility. These include a comprehensive review and possible elimination of burdensome taxes and levies, the establishment of a Strategic Reserve Fund to stabilise supply during shocks, and renewed investment in refining and storage infrastructure, particularly at the Tema Oil Refinery and the Bulk Oil Storage and Transportation Company.
According to the coalition, these measures align with earlier commitments made by the President during engagements with civil society groups and are essential to building a more resilient and efficient petroleum sector.
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