The Chief Executive Officer of the Chamber of Oil Marketing Companies (COMAC), Riverson Oppong, says the introduction of a fuel price floor is intended to protect consumers and ensure the long-term sustainability of Ghana’s downstream petroleum industry, not to overburden the public.

Speaking on Joy Prime on Monday, January 19, 2026, Mr Oppong said COMAC has, over the years, consistently explained how petrol and diesel prices are determined, based on prevailing market indicators.

He stressed that fuel prices are not arbitrarily set by oil marketing companies but are driven by broader industry dynamics.

“Every consumer would obviously want to pay far lower prices for petroleum products because fuel is an engine that supports the economy of any country,” he said.

“However, if you look at past fuel price figures, we have been very consistent as a chamber in explaining how prices of petrol and diesel should be.”

Mr Oppong explained that the decision to introduce a price floor was taken collectively by industry players in consultation with regulators, including the National Petroleum Authority (NPA), to curb destructive price undercutting that could compromise fuel quality and harm consumers in the long run.

According to him, Ghana currently has more than 200 oil marketing companies operating in the downstream sector, creating intense competition that can sometimes become unhealthy.

“Competition for survival becomes a problem when companies begin selling products at any price just to stay in business,” he explained. “We have seen periods in this country where some players sold fuel at arbitrary prices simply to survive.

“As a consumer, would you be happy if someone brings a product below the acceptable price, just to sell, even if the quality is questionable?”

Mr Oppong emphasised that the fuel price floor is not designed around profit margins for oil marketing companies, but rather serves as a minimum benchmark.

“The floor price does not include the margins of oil marketing companies. It is simply the ex-refinery price plus taxes and levies,” he clarified. “Operational costs and dealer margins are not factored into that floor price.”

He noted that some large oil marketing companies are able to sell fuel at relatively lower prices due to economies of scale and operational efficiency.

“For example, a company like Star Oil, which is one of the leading oil marketing companies in terms of volume, has the capacity to sell at competitive prices because of its volume advantage and operational efficiency,” he said. “They are able to make up margins through scale.”

Mr Oppong added that no company is currently selling fuel at the floor price itself.

“As of today, no one is selling at the floor price itself. All companies are selling above it,” he stated.

He disclosed that further engagements are underway with the NPA to review the current framework and strike a balance between affordability, quality and industry sustainability.

“We are starting negotiations and discussions with the NPA this week to come to a better conclusion on the way forward,” he said. “At the end of the day, we are here for consumers — to ensure both quality and value for money.”