Bussiness
Scrapping of PSRL stalls as fuel prices rise to GH¢6.80 per litre
The much-anticipated removal of the Price Stabilisation and Recovering levy of 16 pesewas in the price build-up of fuel at the pumps is yet to take effect even as the second pricing window commences.
This is because Parliament is yet to give the National Petroleum Authority (NPA) the approval needed to scrap the levy.
While many were expecting the scrapping of the levy to take effect in the second window of October which started on October 16, another round of increases at the pumps this past weekend has pushed a litre of petrol and diesel to GH¢6.80 at some pumps.
The NPA on October 11, 2021, disclosed that President Akufo-Addo had approved the removal of the Price Stabilisation and Recovery Levies (PRSL) on petrol, diesel, and LPG for two months.
The authority added that the approval followed its advice to the Energy Minister for the government’s intervention to mitigate the impact of rising prices of petroleum products on the world market on consumers.
Speaking to Citi Business News on the matter, Head of Communication of the NPA, Mohammed Abdul-Kudus noted that Parliament “has not given the NPA the all-clear to remove the levy hence the increases we are seeing at some filling stations.”
“It would have to take Parliament to give us the clearance to now remove it from the price build-up. Because Parliament has not been able to give us the all-clear, and since the second window is supposed to ensue from October 16, regrettably the recent increases at the pumps by some of the OMC’s are inclusive of the levy. The levy will only be excluded after Parliament has given us the all-clear,” he said.
Brent Crude Oil, a key determinant in the price of fuel, ended September selling at around 77 dollars a barrel, settled at a three-year high above $85 a barrel on Friday, October 15, 2021.
According to a recent press release from the Association of Oil Marketing Companies (AOMC), the significant rise in the price of crude oil among other factors in the first window of October would lead to a litre of petrol and diesel selling at between GH¢ 6.88 to GH¢ 7.11 and GH¢ 6.82 to GH¢ 7.05 respectively in the second window, inclusive of the current Price Stabilisation and Recovery Levy.
Without the levy, the AOMC expects a litre of petrol and diesel to sell at between GH¢6.72 to GH¢6.95 and GH¢6.68 to GH¢6.91 respectively in the second window. Checks by Citi Business News at the pumps show that some of the Oil Marketing Companies like Total have increased a litre of petrol and diesel from GH¢ 6.52 to GH¢ 6.80.
Ghana’s gold and minerals sector is set for a major spotlight as Meetings. Co, in partnership with key industry stakeholders, announces the Mining & Minerals Convention 2025, scheduled from August 26-27, 2025, at the Kempinski Hotel Gold Coast City, Accra.
Held under the theme “Shaping the Future of Ghana’s Gold Industry,”‘ the Convention will convene government leaders, regulators, miners, refiners, investors, sustainability partners, innovators, and responsible mining, and global competitiveness,policy experts to explore strategies that position Ghana’s gold industry for long-term growth.
The two-day convention will feature presidential and ministerial keynote addresses, industry thought leadership, technical paper presentations, policy dialogues, fireside chats, exhibitions, and high-level networking sessions.
Convention delegates can anticipate a dynamic and insightful experience, marked by thought leadership from leading policymakers and regulators, in-depth discussions on key topics such as sustainability, ESG, digital gold, and responsible sourcing, as well as valuable opportunities to forge public-private partnerships and investment deals.
Moreover, the event will offer practical action points aimed at unlocking greater economic value for Ghana.
The 2025 edition will be supported by a strong coalition of strategic partners, including the Ministry of Lands and Natural Resources, the Minerals Commission, GoldBod, the Minerals Income and Investment Fund (MIIF), and the Ghana Extractive Industries Transparency Initiative (GHEITI).
The Minister for Finance Hon. Cassiel Ato Forson has disclosed that a sum of nine hundred and Eighty-Seven Million, Nine Hundred and Sixty-Five thousand and Seventy-Three Ghana Cedis (GHS987,965,073.00) from the Consolidated Fund into the District Assembly Common Fund Account, being the first quarter amount due to the DACF.
Furthermore, the Finance Minister informed the House that a total amount of Two Billion, Thirty- Three Million, Four Hundred and Sixty-Nine Thousand, Six Hundred and Seven Ghana Cedis (GHS2,033,469,607) has been disbursed to the National Health Insurance Fund.
While the Ghana Education Trust Fund has also received a total of Two Billion, Seven and Ten Million, Two Hundred and Twenty-Seven Ghana Cedis (GHS2,710,227,947.00) for the months January, February, March and April,2025.
The Finance Minister disclosed this in his statement to Parliament on the payments to statutory funds on the floor of the House.
In addition, he cautioned that the Administrator of the District Assembly Common Fund is required to ensure that 80% of this amount is transferred directly to the Assemblies without fail and expenditure returns submitted to the Ministry of Finance before subsequent releases will be made.
He added that Members are encouraged to monitor the utilization of these amounts sent to their respective Assemblies in line with the approved guidelines by Cabinet.
In his closing remark, Ato Forson said he’s going to take the concerns of the House seriously.
For his part, the Majority Leader, Mahama Ayariga made known the President’s prioritization of women in the country stating that President Mahama is “Pro-women”.
This is due to the fact that women are going to be the core beneficiaries from the expenditures going to be made by the MMDA’s, he added.
The Minority Leader Alexander Afenyo-Markin questioned the Finance Minister why road contractors have not been paid for more than five months. He said the Minister must not be applauded for since the allocation of these funds were long overdue.
