26 September 2018

Ghana: Fuel Transport - Acep Proposes Utilization of Pipelines

The African Centre for Energy Policy (ACEP) wants the mandate of the Bulk Oil Storage and Transportation Company, BOST to be reviewed to deepen its storage capacity.

ACEP explains that this should help in finding a lasting solution to the intermittent challenges associated with fuel transportation in Ghana.

The comment also follows the sit down strike by the petrol tanker drivers' association over welfare issues.

The drivers are unhappy with the deductions for loss of fuel during transportation.

A situation they say has made them worse off considering their already meager salaries and allowances.

Commenting on the development, the Executive Director of ACEP, Benjamin Boakye indicated to Citi Business Newsthe need to utilise pipelines in transportation of fuel.

"What we need BOST to do is to be a proper storage entity so that they have tanks all over that they can send products to through pipelines and anybody that needs the product can cart from the centre to their vending points so that this whole issue of transporting products becoming a huge problem in Ghana, would not even arise," he observed.

Mr. Boakye added, "We have pipelines that are running all the way to Akosombo and then we have water transportation to Buipe and that is also supposed to join another pipeline transportation to Burkina Faso but we are not using them."

The tanker drivers had initially engaged with the National Petroleum Authority (NPA) and other industry stakeholders.

The said meeting had apparently resulted in the cancellation of the strike.

But the drivers will later oppose such claims; insisting on their demands.

Benjamin Boakye further intimated that the ability to stop the political control over the fuel tankers will be a step in completely reversing the trend.

"We are not using the pipelines because the politicians own the tankers, their business associates own the tankers and they can always come for an adjustment in price. So there is a way of dealing with it and that will also bring benefit to the consumer; if we can cut the cost of transportation which we are reluctant to do, that will also lead to savings at the pump," he suggested.

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