The Chief Executive Officer of the Chamber of Oil Marketing Companies (OMCs), Dr. Riverson Oppong, has cautioned consumers to brace for a sharp increase in fuel prices in the upcoming pricing window, despite a marginal reduction this week.
Speaking on Channel One TV’s Face to Face program on Tuesday, June 17, Dr. Oppong explained that recent slight reductions in pump prices were the result of a temporary government directive, rather than improvements in market fundamentals.
“You’re currently benefitting from a reduction this week, but I can’t promise for next week,” he said, warning that international price trends and exchange rate pressures are setting the stage for a major hike.
According to Dr. Oppong, the recent GH¢1 tax suspension by the government played a crucial role in averting a 9.5% increase in fuel prices this week. “When we received the directive on Saturday that the GH¢1 tax had been suspended, it helped stabilise the situation. While the cedi was appreciating slightly, international benchmark prices were also climbing, so they basically neutralised each other,” he explained.
This standoff, he said, only translated into a minimal 2% reduction at the pump—far below public expectations.
Looking ahead, Dr. Oppong predicted significant price increases in the next pricing window. He also raised concerns that some Bulk Distribution Companies (BDCs) and OMCs might begin hoarding products to benefit from the anticipated rise in margins.
“Two things might happen next week, and I’m engaging the Chamber of Bulk Oil Distributors (CBOD) tomorrow to address this. BDCs might hold back supply to wait for the next pricing window, and OMCs might also hoard fuel for the same reason,” he revealed.
Dr. Oppong said the Chamber is working with key stakeholders to discourage hoarding, which could intensify pressure on the market and worsen price volatility.
“But for the next window, for sure, things will go up,” he warned.
His remarks come at a time of heightened concern among consumers over erratic pump prices and the ripple effects of global oil market trends on the domestic economy.
