Government bearing cost of fuel relief, not industry - Energy Ministry

The Ministry of Energy has pushed back against claims that recent fuel price relief measures are being financed solely by industry players, insisting that the government is, in fact, absorbing the cost.

In response to the claims, the Director of Communications at the Ministry of Energy, Richmond Rockson, described the assertion as inaccurate.

He explained that the revenues involved are statutory inflows due to the state for the provision and regulation of essential services in the downstream petroleum sector.

According to the Ministry, the government has deliberately chosen to forgo a portion of these revenues as part of efforts to cushion consumers from high fuel costs.

Fuel price cuts show Mahama government is people-centred - Rockson

“It is misleading to suggest that the burden is being borne by the industry or the private sector,” the Ministry said.

The Ministry stressed that the decision reflects a policy choice to prioritise the public interest over immediate fiscal gains, with the state effectively absorbing the financial impact of the relief measures.

The clarification comes amid ongoing debate over the sustainability and funding of fuel price interventions, as authorities seek to balance consumer protection with revenue considerations.

Meanwhile, the government has announced a temporary intervention aimed at easing the impact of rising petroleum prices on consumers, following increased volatility on the international oil market.

Under the new measure, which takes effect from April 16, 2026, the government will directly absorb part of the cost of fuel at the pump for one pricing window.

This was contained in a statement issued on April 15, 2026, by the Minister of State in charge of Government Communications, Felix Kwakye Ofosu.

“Effective April 16, 2026, which is the next pricing window, the government will absorb GH¢2.00 per litre on diesel and GH¢0.36 per litre on petrol. This intervention is intended to cushion consumers and ease the cost burden on households, transport operators, and businesses.”

“The measure, approved by Cabinet, is in response to rising prices of petroleum products on the international market, which have significantly impacted ex-pump prices in Ghana,” the statement said.

The government further noted that the “temporary intervention will remain in force for a period of one (1) month. During this period, it will continue to closely monitor developments in the global oil market and assess the need for further policy adjustments.”

MA