The government has reduced the price of diesel by 3.94 percent, a decision many say will come with some serious challenges for the petroleum industry and government.
The review has also seen prices of petrol, Kerosene, LPG, and premix fuel kept unchanged at the pumps this Wednesday morning. This means consumers will continue paying for the same prices for these products as at April 1 this year.
But, for industries that consume kerosene and gas oil for mines, they will pay three percent for every litre they purchase this morning.
Although the decision to reduce diesel by that margin might come as good news for consumers, some industry watchers think that it is not a prudent decision.
JOY BUSINESS gathers that there is currently a debt of 30 million Ghana cedis to settle to the bulk oil distribution companies due to the recent depreciation of the cedi.
Therefore, it would have just been prudent to increase prices marginally to take care of this cost, some analysts suggested.
Some have also argued that looking at the challenges government is having with its finances, the best thing to do is to pass on the cost to consumers.
Also, going through the various prices built up, JOY BUSINESS has gathered that there is still some subsidies on the various petroleum products, a decision that has been criticized by industry players and economists.
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