The Association of Oil Marketing Companies (AOMCs) in the country are planning a strike action to protest against National Petroleum Authority’s deliberate refusal to increase distribution margin for their members and Dealers in the country.
Oil Marketing Companies (OMCs) and Dealers are suffering from financial dehydration as cost of operations continues to escalate. The source disclosed that they may be compelled to shutdown their pumping outlets if NPA refuse to listen to their called for increase in distribution margin immediately.
The source explained that the 48% price adjustment of petroleum products since 2013 should have seen an increase in distribution margin for oil marketers and Dealer alike but NPA has failed to do that.
“I can tell you for a fact that Oil Marketing Companies and Dealers are rarely breaking even on production cost which includes overhead cost and decent returns on investment”.
An increase in the margins for the dealers and marketers according to the OMC source will help them to meet the rising operational cost and improve service delivery and efficiency. The source told the paper that some OMCs are finding it difficult to meet their loan repayment obligation and regularly lifting crude to serve the public.
The price of petroleum products went up last Saturday as a result of the free fall of the Ghana currency. Petrol is now selling at ¢2.55 pesewas per litre. Kerosene is selling at ¢2,60 pesewas per litre. Diesel and Marine Gas oil went up by 6 percent adjustment in price per litre.
OMCs and Dealers are being given ghp0.1674 per litre as margin and this according to them is woefully inadequate.
The Public Relations Officer at the national oil authority, Yaro Kasambatah, explained that the authority was forced to pass on the cost to consumers due to the reduction in the value of the cedi.“When you look at the crude oil price as we do, we always have to come back and look at the product prices because actually all our importers go out to buy refined products so the crude is a necessary benchmark though but the fact in chief is the price of the refined product itself,” he stated.
Below are Some of the Oil Marketing companies in Ghana ” Agapet Oil, Allied Oil, Anasset Oil, AP Oil & Gas, Bano Oil, Capstone Oil Ltd, Champion Oil, Dukes Petroleum, Engen Ghana Ltd, Excel Oil, Fraga Oil, Frimps Oil, Galaxy Oil, Ghana Oil, Glory Oil, Havillah Oil, Keysens Oil Market, and Manbah Gas.Others include ,The Merchant Oil,Modex Oil, Nasona Oil, Oando Ghana, Obiba J.K, Pacific, Shell Ghana, Sky Petroleum, Star Oil, Sonnidom Energy, Strategic Energies, Superior Oil Co, Top Oil, Total Petroleum, Trade Cross, Trinity Oil, UBI Petroleum, Union Oil, Unity Oil, Universal Oil, and Virgin Petroleum.