Ben Boakye, Executive Director of the Africa Centre for Energy Policy (ACEP), is calling on the government and industry to incentivize local fuel storage and strategic reserves to shield Ghana’s economy from shocks such as international conflicts and rising pump prices.
Speaking amid recent spikes in fuel costs — with petrol retailing at around GH¢13.30 per litre and diesel at GH¢17.10 at major stations — Boakye warned that Ghana’s current fuel stocks may not be sufficient to withstand prolonged import disruptions.
“We are over-tanked, but we don’t always have enough products on hand,” he said. He noted that while private depots can hold three to four weeks of supply depending on production and imports, the country still lacks a reliable strategic buffer.
Fuel prices in Ghana have surged sharply in recent weeks after the National Petroleum Authority (NPA) revised its pricing floors for the April 1–15 period. The move, linked to global crude price volatility and cedi depreciation, has pushed petrol and diesel to their highest benchmark levels in recent memory. Industry observers say uncertainty from geopolitical tensions in the Middle East — involving the United States, Israel, and Iran — is contributing to the upward trend.
Under current rules, international crude price fluctuations are largely passed on to local consumers unless the government intervenes. This makes stable supply and domestic stockpiles critical in cushioning the economy against sudden global shocks.
Boakye urged policymakers to design incentives encouraging private players, including Bulk Distribution and Export Companies (BIDECs) and Oil Marketing Companies (OMCs), to store more fuel locally instead of exporting to neighbouring markets such as Togo, where storage costs are more attractive.
He suggested that a portion of annual trade — for example, 10% of activity by Bulk Distribution Companies (BDCs) — could be mandated as a buffer for the national economy.
“Encouraging the private sector to store products in the country, through reduced charges and incentives, provides a buffer when times get tough,” Boakye said.
His remarks come amid concerns about Ghana’s heavy reliance on imported refined products and the risks posed by limited reserves. Without substantial strategic stockpiles, the country remains vulnerable to supply shocks if foreign shipments are delayed or halted.