COMAC Threatens Atuabo LPG Supply Over GHS1 Price Gap

The Chamber of LPG Marketing Companies (COMAC) has warned the National Petroleum Authority (NPA) and government officials. They state that Liquified Petroleum Gas (LPG) deliveries from Atuabo may stop. This is due to a price difference of nearly GHS1.00 per kilogram with Tema-based suppliers.

COMAC’s Chief Executive Officer, Dr. Riverson Oppong, explained the issue in a letter to the NPA. Sage Petroleum (Atuabo) sells LPG at GHS12.65/kg. This is higher than competitors in Tema. Alpha, Matrix, and FuelTrade sell at prices around GHS11.66/kg.

This price difference causes a problem for businesses in the Atuabo zone. COMAC calls this a “structural disadvantage.” It makes their operations less profitable.

COMAC has asked the NPA to fix the issue. They propose two solutions. First, Sage Petroleum should sell its LPG at prices similar to Tema suppliers. Second, if Sage Petroleum does not lower its prices, then rules stopping marketers from getting LPG from Tema for the Atuabo zone should be lifted. This means marketers could buy from Tema where prices are lower.

The Chamber has made it clear that continuing to lose money is not possible. They stated that trucks might stop delivering after the holiday period. This affects the supply of LPG.

The letter was also sent to the Minister of Energy and other key figures. This is to ensure government is aware of the issue. The NPA has not yet responded. This leaves the Atuabo LPG market uncertain.