Expect more price hikes in petroleum products - COPEC predicts 

The Chamber of Petroleum Consumers, COPEC is predicting higher fuel prices if the cedi continues to depreciate against major trading currencies.

The cedi is currently trading at 5.67722 against the dollar as it records a 13.30% loss in value to the dollar since January this year.

Executive Director of COPEC, Duncan Amoah is proposing that the Central Bank allocates a specific amount of dollars to oil marketing companies to avert any price hikes in fuel prices

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"The cedi performance has been quite abysmal, the challenge we have is to the extent that the fuel importers and the OMPs give an indication that if the cedi does not stabilise as we expected, it is likely that within the next one week maximum 10 days there will be another fuel price increment because it is wiping away their investment as far as fuel importation is concern..."

COPEC has also asked the government to check the spate of hikes in the prices of petroleum products.

A statement signed by the Executive Director of COPEC, Duncan Amoah, said the government must review some of what it described as “nuisance taxes” in the sector to stop the petroleum price increases

“[We call on the government] to review some of the nuisance and needless fuel taxes as we currently have in the price build-up in the country since the 2020 budget has set out in clear terms to focus on clamping down on fuel smuggling which is known to cost the country over GHS1.6 billion in taxes evaded annually.”

Fuel prices across most of the major Oil Marketing Companies ( OMCs ) have seen an increase of almost 1% since last Friday.

Average pump prices that hitherto was at 5.360/ litre for both petrol and diesel have seen an increase of 5 pesewas to current new prices of 5.410/ litre or 24.345/ gallon for both petrol and diesel, according to COPEC.

COPEC’s statement also blamed the recent increase in prices of petroleum products on the depreciation of the cedi.

According to COPEC, “the depreciation of the cedi if left unchecked will certainly see prices going up again and even higher in the second window of this month”.