The Chamber of Petroleum Consumers (COPEC) has called on the National Petroleum Authority (NPA) to scrap the minimum price floors under the 2024 petroleum pricing guidelines, describing the policy as outdated and unfriendly to consumers.
COPEC argues that the price floor system, which prevents petroleum service providers from selling fuel below a regulator-approved minimum, restricts competition in what is meant to be a deregulated market and denies consumers the benefits of lower prices.
Speaking on Citi FM, COPEC’s Executive Secretary, Duncan Amoah, said the policy offers little advantage to consumers and should be discontinued to allow oil marketing companies to reduce prices when market conditions are favourable.
“Maintaining a price floor only inconveniences consumers and does not serve the public interest,” he explained.
The call comes after comments by Star Oil CEO, Philip Tieku, who also criticised the policy, arguing that its removal would allow further reductions in fuel prices at the pumps.
Under the current arrangement, the NPA sets price floors for deregulated petroleum products at the start of each pricing window, and service providers are required to comply or risk fines of up to GHS¢5,000.
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