{"id":654597,"date":"2019-07-11T16:04:27","date_gmt":"2019-07-11T16:04:27","guid":{"rendered":"
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\"oil\"<\/div> "},"modified":"2019-07-11T16:04:27","modified_gmt":"2019-07-11T16:04:27","slug":"petroleum-downstream-witnessed-15-growth-in-2018-npa","status":"publish","type":"post","link":"https:\/\/www.ghanamma.com\/2019\/07\/11\/petroleum-downstream-witnessed-15-growth-in-2018-npa\/","title":{"rendered":"Petroleum downstream witnessed 15% growth in 2018 \u2013 NPA"},"content":{"rendered":"

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The petroleum downstream sector saw a 15% surge in consumptions of petroleum products during 2018 under review.<\/p>\n

That was as a result of efforts towards curbing illicit fuel activities coupled with deliberate technology based schemes and policy initiatives aimed at propelling private sector growth.<\/p>\n

The Chief Executive Officer of National Petroleum Authority, Hassan Tampuli, who made the disclosure at the ongoing 3rd<\/sup>\u00a0edition of the Ghana International Petroleum Conference (GhIPCon) 2019 said consumption grew by \u201c15% from 3.4million Mt in 2017 to 3.9 million Mt in 2018\u201d.<\/p>\n

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He added that petroleum sector had contributed over\u00a0GHS86 billion<\/strong>\u00a0to Ghana\u2019s GDP representing an average of about\u00a08%\u00a0per annum in the period 2013 to 2018.<\/p>\n

These successes, he explained, were achieved despite the many challenges the petroleum industry faces. Some of the challenges he enumerated included \u201csmuggling via unapproved offshore routes, dumping of Gasoil declared for sale to foreign vessels at local filling stations, under-declaration and non-declaration of products lifted at depots; diversion of subsidized social products such as premix fuel, as well as fraudulent freight claims from some transporters and siphoning LPG from BRVS into surface tanks at illegal LPG tank\u201d.<\/p>\n

These \u201cnefarious activities\u201d he added, cost Ghana \u201cabout $200million per annum of tax revenue; compromising on product quality at filling stations due to laundering which leads to damage to vehicle engines; and distortion of the national consumption statistics (over 300,000Mt of actual annual consumption was unreported).<\/p>\n

He also said that the \u201cUnified Petroleum Price Fund (UPPF) also recorded about USD12million losses per annum\u201d.<\/p>\n

\"Tampuli<\/figure>\n

In addressing the stated challenges, Mr. Tampuli mentioned that the NPA had \u201crolled out a series of measures to tackle the problem heads on, in collaboration with the Ghana Revenue Authority, Ghana Navy and other relevant security agencies in the country\u201d, and intensified \u201cdigital solutions such as Enterprise Relational Database Management Software, Petroleum Products Marking Scheme and Bulk Road Vehicle Tracking project\u201d.<\/p>\n

Mr. Tampuli urged \u201cparticipants to use this GHIPCON platform to deliberate on the key issues\u201d in the petroleum industry with a \u201cfocus on the strategies\u201d needed \u201cin order to achieve the vision of being\u00a0\u2018A Catalyst for Transformation\u2019 together\u201d in line with this year\u2019s theme.<\/p>\n

He also assured participants that \u201cthe key recommendations\u201d from the conference \u201cwill be taken on board in efforts to ensure efficiency in the Ghana petroleum downstream industry\u201d.<\/p>\n

The Vice President Dr Mahamudu Bawumia on his part said the petroleum downstream sector had witnessed a significant expansion following government\u2019s deregulation policy.<\/p>\n

\u201cThis sector has witnessed significant investment and expansion of petroleum products storage and outlet facilities,\u201d he said.<\/p>\n

\u201cThe investment has been championed by the private sector which is mostly dominated by a growing number of indigenous Ghanaian companies.<\/p>\n

\u201cFor instance, over the past eight years, the industry has grown from a total of eight (8)\u00a0 Bulk Distribution Companies (BDCs) to 35. The number of Oil Marketing Companies (OMCs) has grown from eight one (81) to one hundred and fifteen (115)\u201d.<\/p>\n

\"Tampuli<\/figure>\n

Dr. Bawumia also mentioned as at May 2019, there were 19 companies providing support services for the sector in areas such as tank calibration, underground storage tank (UST) and Above Storage Tank (AST) cleaning, Non-Destructive Testing (NDT), amongst others.<\/p>\n

The Deputy Minister of Energy, Dr. Amin Adam said government through the Energy Ministry and NPA was taking steps to focus on transforming the petroleum downstream sector from its present state \u201ctowards government\u2019s vision of making Ghana a hub for refined petroleum products in the West Africa region.\u201d<\/p>\n

Source: Adomonline.com|Samuel Dowuona
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