Audio By Carbonatix
The Chamber of Oil Marketing Companies (COMAC) is calling for the suspension of sections of the Customs Act 2026 by the Ghana Revenue Authority, over the lack of industry consultation.
According to COMAC, it is not in favor of Section 136 of the act that seeks to transfer the entire downstream petroleum tax obligation from oil and LPG Marketing Companies to the Bulk Import, Distribution and Export Companies (BIDECs).
It pointed out that “This far-reaching change was introduced without due consultation and presents dire consequences for operators, the industry, and the national economy”.
These concerns were captured in a letter to the Commissioner General of the Ghana Revenue Authority, Anothony Kwesi Sarpong, seen by JOYBUSINESS.
Reasons for Indefinite Suspension
COMAC, in a letter went ahead to argue that it is kicking against the implementation of the sections of the Customs Act due to the fact that Section 136(3) requires a BIDEC to account for tax at the point of sale, while section 136(5) permits the Commissioner-General (CG) to defer payment for up to 21 days via a bank guarantee.
The Chamber went ahead to state that “It migrates liability currently secured by OMC/LPGMC guarantees, bonds, and self-recognisance to the bulk-supply tier.”
It recalled at the meeting that GRA’s rationale to deal with “fewer entities” and address marketer defaults was unsupported by any memorandum or assessment, highlighting that this stated rationale is flawed.
It also raised serious concerns about enforcing the act, arguing that the current system is effective when enforced. “GRA would face an impossible choice: enforce and trigger a national supply shock, or forbear and allow arrears to balloon. Risk becomes concentrated, not reduced”.
Breakdown of Other Concerns
COMAC went ahead to identify other issues that it believes should be seriously considered.
They are:
- Issue of enforcement, not the collection point: According to COMAC, the accumulation of arrears points to failures in enforcing existing ICUMS controls, including system overrides that allowed affected operators to continue lifting beyond approved limits. Thus, transferring the tax obligation to BIDECs will merely relocate this risk.
- Creation of fiscal distortion and double collateralisation: It said the status quo matches liability to liquidity – BIDECs pay at importation, OMCs/LPGMCs pay ex-pump. Section 136 severs this. As a result, BIDEC must pre-finance taxes before being paid, forcing tighter credit, higher security demands, and ultimately higher pump prices.
- Lack of consultation: It explained thatCOMAC, the body representing the most affected operators, was neither consulted nor invited to comment before passage, despite standing engagement with GRA, NPA, and the Ministries of Finance and Energy. Hence, a post-passage implementation meeting does not cure this procedural defect.
- Internal inconsistency: It stressed that Section 126(6) fixes the tax point at 21 days after close of a lifting window, while Section 136 fixes it at time of sale with a separate 21-day deferral, two conflicting triggers for the same consignment. This means that no impact assessment, memorandum, transitional plan or financing arrangement has been provided for reference by COMAC.
Immediate Attention
The Chamber also highlighted some issues that need urgent attention.
It expressed concerns about maintenance of the status quo, whereby BIDECs pay at importation (import duties/port charges) and OMCs/LPGMCs continue to account for taxes/levies at ex-pump.
Again, it noted about a written account of the control circumstances that permitted affected operators to continue lifting after exceeding the applicable credit limits or payment periods, together with the corrective measures instituted to prevent recurrence;
Additionally, an independent review of the grant of non-bonded status and other material system overrides, including the applicable criteria, approval authority, supporting justification, and audit trail, with appropriate administrative or disciplinary action where any breach is established.
Plan to Support GRA
Despite these concerns, COMAC remains supportive of the GRA and welcomes aspects of the Customs Act.
“COMAC remains a willing partner in strengthening compliance and revenue mobilisation, best achieved by enforcing the existing mechanism rather than replacing it”, it explained
“We stand ready to engage constructively toward a shared resolution to safeguard our members and national energy security”, it added
In conclusion, it welcomed Act 1179 and Sections 126 and 127, which preserve the customs-controlled framework for registration of petroleum operators and bonded storage, lifting, and movement of products.
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