The CEO of the National Petroleum Authority (NPA), Godwin Edudzi Tamakloe, has explained why government does not directly control most of Ghana’s fuel stocks, saying the country’s downstream petroleum industry was deliberately designed around private-sector participation.

His comments come amid renewed concerns over fuel security as global petroleum markets face supply pressures and fuel prices continue to rise.

The NPA has increased its price floors for petrol and diesel from September 16, with the latest adjustment reflecting higher international market costs.

Government has also introduced measures to cushion consumers from the impact of rising petroleum prices.

Speaking on Joy News’ PM Express Business Edition on Thursday, Mr Tamakloe said Ghana currently has adequate fuel reserves despite concerns about possible disruptions to international supplies.

“Currently we have not less than 6 weeks of cover. Not less,” he said.

He added that the number of petroleum vessels currently on the high seas provides an additional supply buffer.

“And if you look at the number of vessels even on the high seas, it is significant.”

Mr Tamakloe said his immediate concern was not the availability of petroleum products but the effect of rising prices.

He was responding to questions about whether Ghana could face supply challenges in the coming weeks amid projections of export cuts by some oil-producing countries.

He said he did not expect supply to become a problem in the immediate future, pointing to developments in the regional petroleum market, including the growing role of the Dangote refinery.

"Dangote is here,” he stated.

The NPA boss also addressed concerns about the level of government-controlled fuel stocks, particularly after questions about BOST's role and whether reliance on privately held stocks could leave the government vulnerable to pressure from fuel suppliers.

He said Ghana’s downstream petroleum architecture was intentionally structured to encourage private-sector participation.

“The agency that I’m the CEO of, the enabling law, that’s Act 691; if you look at the very ethos of the law, it is private sector led,” he said.

Mr Tamakloe explained that the law created different layers within the industry, including Bulk Distribution Companies and Oil Marketing Companies, with limited direct participation by the state.

“If you look at the industry architecture as seen in the Act, it is private sector led. It is to create more private sector participation in the downstream.”

However, he acknowledged concerns that private companies could potentially exert pressure on the state, particularly during periods of supply stress.

He said safeguards had been introduced to prevent a repeat of past challenges.

“I think there are some buffers that we put in place to ensure that the 2014-2015 events do not happen again.”

He said preventing private operators from gaining enough leverage to hold the country to ransom remains a major concern.

“And as I said, that’s a particular concern, a great concern to the President of the Republic, so we don’t get to a point where the private sector can effectively hold the whole country to ransom.”