'Deregulation will ensure cheaper petroleum pricing'

Mr Emmauel Armah Kofi-Buah, the Minister of Petroleum has said Government's decision to deregulate the petroleum sector was to allow petroleum importers and marketers to reduce their price as well as pull in more private players into the sector.

"Government's decision to deregulate the petroleum sector will compel oil importers and dealers to fix their own prices at cheaper rates as buyers would want to buy from importers, whose prices are cheaper compared to others", he said.

Mr Armah Kofi–Buah said this in Kumasi during an inspection of the Bulk Oil Storage and Transport (BOST) facilities in Kumasi and also to ascertain progress made since Government handed over the management of BOST to TSL Logistics, a Nigerian company, a year ago.

Among the Minister's entourage were Mr Kingsley Awuah Darko, the Managing Director of BOST, Kakra Essamuah, the Board Chairman of BOST, officials of BOST and the Ministry of Petroleum.

He said deregulation would mean that the National Petroleum Authority (NPA) would no longer be in charge of determining the prices of petroleum products, but would only be in charge of ensuring that the products sold were up to standard.

He noted that although the Deregulation Act was passed in 2005 and had made a lot of progress, such as allowing private oil players, Bulk Distribution Companies and Oil Marketing Companies to come on board in the importation and sale of oil in the country, price liberation which was one of the core mandate of the Act had not been achieved hence Government's decision to do it now.

He added that, t the deregulation of the sector would also help end the perennial fuel shortages that hits the country, adding that, private players would no longer be able to cheat Ghanaians.

He expressed satisfaction with work being down by TSL Logistics as safety, standards, security and health at BOST depots had improved since the TSL took over a year ago.

He said the Ministry and BOST had not regretted making the decision to collaborate with TSL Logistics and 'would not mind to do it again'.