“Anytime fuel prices go up, Ghana’s economy is busted completely” – COPEC

Duncan Amoah, the Executive Director of the Chamber of Petroleum Consumers (COPEC), has called for a thorough revision of Ghana’s energy strategy, cautioning that the country is extremely vulnerable to disruptions in the world oil market due to its excessive reliance on imported refined petroleum products.

Mr. Amoah issued a warning in an interview with Channel One TV on Saturday, June 14, stating that rising tensions between Israel and Iran are already having an impact on world petroleum prices and that Ghana’s economy is in a vulnerable position due to its inability to refine its own resources.

“There is a lot of geopolitical tension. We cannot continue to be price seekers; we cannot continue to be global observers. We cannot continue to allow international oil marketing companies to come down here, take our hydrocarbon resources and ship everything back to Europe, go refine and process them, and then we will go back with our cargos for the refined product to our country for $400 every month,” he stated.

He emphasized that in order to protect the economy from outside shocks, Ghana must have more control over its petroleum value chain, from extraction to refining.

“That strategy has also got to change. I think that the current Energy Minister, John Jinapor, if anybody can fix the situation, should be better placed. We will urge him to re-strategise and get Ghana to be a global observer.”

Mr. Amoah’s comments come after President John Dramani Mahama gave the Finance and Energy Ministers instructions to keep an eye on the developing Middle East situation and determine how it might affect Ghana.

According to COPEC, “anytime the prices go up, our economy is busted completely…” until national energy policy changes. This effect shouldn’t be felt right away.

Source: Ghanatodayonline.com