NPA launches Petroleum Product Marking Scheme phase II

Six years after introducing fuel Marking Scheme in Ghana to check the adulteration of petroleum products sold to consumers at the various pumps, the NPA has moved a notch higher to launch the phase two of the Petroleum Products Marking Scheme (PPMS) which it believes will arrest the shortfall and leakages identified in phase one.

The move is seen as a big breakthrough for the Petroleum Authority and will go a long way to sanitize and control the quality of petroleum products sold on the Ghanaian market.

At a very simple but colourful launch of the of PPMS Phase Two in Accra on Wednesday, February 19, 2020, the CEO of the NPA said: “the introduction of phase two of the PPMS is essential because contaminated petroleum products on the market have far-reaching consequences and it’s negative effects unquantifiable.”

He adds that the NPA has had to work hard to seal the loopholes in the downstream industry, adding that “every single day people are finding new ways to beat the system. In fact, every single hour people are at work trying to beat us so we have to be at work too so we can be ahead of those doing illegal business in the industry.”

Mr Tampuli also says the Phase Two of the PPMS is anchored on high-end technology and thus data of the marker is, secured, encrypted and checked in real-time to help eliminate any act of illegality. He concluded by assuring that the NPA is working assiduously to ensure that consumers get good and quality petroleum products at the various pumps as well as value for money.

"The marker is a unique identifier which aids in distinguishing the various types of petroleum products and exposes the addition of a foreign product if any. This is achieved by testing samples of petroleum products on a monthly basis at approximately 75% of retail outlets & bulk consumers across the country. Tests are carried out with proprietary analytical devices which detect the presence or otherwise of the marker."

Deputy Energy Minister Dr Amin Adam who was at the event congratulated the NPA for their continuous effort to clean up the petroleum downstream sector. He also encouraged the NPA not to rest on their oars because there is more to be done and achieved in the petroleum industry.

On her part, the Chief of Staff of Ghana Madam Akosua Frema- Osei Opare said “fuel adulteration is a worldwide problem which needs stringent measures to arrest and defeat it. “

She said fuel adulteration has dire consequences on the revenue projection of government since those who engage in the illicit trade fail to pay the needed taxes.

She was therefore hopeful that this new phase two of the PPMS will block the revenue leakages and help the government raise the needed revenue to carry out other developmental projects.

“ I am very confident that this program will help Ghanaian consumers realize that they are getting value for money,” she concluded.

About the PPMS

The Petroleum Product Marking Scheme provides a foundation for an effective quality monitoring systems by:

-Offering consumer quality assurance and protection for products at the final dispensing outlet.

-Checking/controlling malpractices that result in loss of government revenue and a secondary effect of interfering with product quality.

-Increased tax base & revenue

-Reduced smuggling

-Fair business competition

Fuel Marking is the introduction of a unique identifier (bio-chemical liquid) in trace quantities into petroleum products at depots before distribution unto the market. The marker creates "finger print" and provides a secure, tamper-proof method of authentication. Marked fuel can be distinguished from unmarked fuel through a process of testing using specialized detecting equipment (LSX2000 and MSX1000).

The purpose of PPMS is to;

-Preserve and Protect the quality and purity of petroleum products.

-Detect and prevent the adulteration of petroleum products.

-Monitor the quality and purity of petroleum products.

Phase II of the PPMS will see the NPA improve upon the following:

- Sustained successful marking and field monitoring of marked petroleum products;

- Reduction in the retail outlet failure rate, which is indicative of the decrease in the malpractices in the distribution and sale of petroleum products;

- Improvement in stakeholder awareness in furtherance of the NPA’s medium term strategy;

The implementation of the PPMS is as a result of NPA's objective of ensuring that the industry continues to be efficient and profitable whilst consumers are satisfied.