The Chamber of Petroleum Consumers has reduced the price of fuel by five percent.

The reduction is the first fuel window for the month of August under the National Petroleum Authority (NPA)’s deregulation pricing programme.

In a statement released Monday and signed by Executive Secretary of the Chamber, Duncan Amoah, it said "Prices on the world markets over the past 4 windows have gone down by over 17.164% from previous levels of $50.22/barrel to the current indexes of $41.60/barrel but the local pumps have till date adjusted by less than 5% cumulative across most OMCs."

Although the prices are yet to reflect at the pumps, the Chamber has advised consumers to patronise the few oil marketing companies who have demonstrated price sensitivity.

This, it said, is the only way those charging higher prices will begin to appreciate the need to give value for money in petroleum prices.

Read the statement below:

CHAMBER OF PETROLEUM CONSUMERS GHANA REDUCE FUEL PRICES BY 5%

1st PRICING WINDOW-AUGUST 2016

The first fuel pricing window for the month of August 2016 under the national petroleum authority's deregulation pricing programme commences today.

Contrary to expectations for fairness under deregulation which dictates prices to reflect current trends and market dynamics, the Ghanaian downstream and pumps have remained quite insensitive to movement of indexes on the world market and the cedi's performance over the past four pricing windows or two months.

Prices at the local pumps have so far not reflected prevailing figures both on the international markets and the cedi dollar exchange, though same have contributed immensely in no small way in the past when pump prices have gone up, the phenomenon where periods for reductions seem to go unheeded is becoming increasingly worrying.

Prices on the world markets over the past 4 windows have gone down by over 17.164% from previous levels of $50.22/barrel to the current indexes of $41.60/barrel but the local pumps have till date adjusted by less than 5% cumulative across most OMCs.

The cedi over the same period has lost marginally around 1.78% to close trading at 3.96/1$, it stands to reason therefore, that given a standard variance of 5% cumulative the Ghanaian petroleum consumer could have gotten at least 11-12% reductions at the pumps but we have so far recorded below 5% net reductions over same period.

We indeed continue to have high hopes in the deregulation programme being applied fairly to all and sundry within the Ghanaian downstream but recent developments is gradually eroding that confidence.

We by this statement calling on the various bulk distribution companies and oil marketing companies to reduce fuel prices by at least 5% to ensure the right things are done in a deregulated market where the cardinal principle of FAIRNESS is protected as is the case the world over.

We further advice Ghanaians to patronize the few oil marketing companies who have demonstrated price sensitivity over the period as its the only way those charging higher currently will begin to appreciate the need to give value for money in petroleum prices.

Signed
Duncan Amoah 
Executive Secretary 
Chamber Of Petroleum Consumers Ghana 
( COPECGH )