VRA hedges its crude oil imports

State power generator VRA has started hedging its crude oil purchases for its operations.

The program which began last month, will see the state power generator hedge about 500,000 barrels of crude oil for the next 12 months.

It is expected to cost the Authority about 2 million dollars and at a hedge price slightly below 115 dollars per barrel.

The program would however allow the VRA to review the facility every two weeks.

“I will say the most important objective is to provide price certainty and cash flow certainty for budgetary purposes,” Chief Executive of VRA, Kweku Awortwi explained to Joy Business.