Economist Professor Williams Peprah has urged the government to explore closer energy cooperation with Nigeria as part of efforts to reduce Ghana’s fuel import costs and cushion consumers from rising petroleum prices. His comments come amid growing concerns over rising fuel costs, with petrol selling at GH₵14.5 per litre and diesel nearing GH₵18. Speaking in an interview on Joy FM’s Midday News on Tuesday, July 28, on the impact of recent increases in fuel prices, Prof.
Peprah said Ghana should take advantage of regional partnerships to secure more affordable crude oil supplies instead of relying solely on temporary interventions. According to him, global supply disruptions and longer shipping routes resulting from geopolitical tensions have significantly increased the cost of transporting crude oil to Africa, with direct consequences for fuel prices in Ghana. “What I’m reading online is that there’s a general indication that should the conflict involving Iran ease, prices may normalise and we may see some decline.
We’ve also noticed a pattern where tankers that are not able to go through the Strait of Hormuz are using the Red Sea, and that route has also become very long for Africa. This is the time for Ghana to now talk to our brother in Nigeria to see what support they can also give to us to reduce the cost,” he suggested. The economist observed that even Nigeria’s Dangote refinery has acknowledged the high cost of transporting crude oil across Africa, underscoring the need for governments in the region to work together to address logistical challenges.
“Government may have to come together to say, can we find a way to mitigate these costs? These are some of the things I expect government to be looking at. A reduction of one cedi may not have a major impact.
The real solution is to look for a supply line that will enable Ghana to obtain cheaper crude oil,” he stressed. He also pointed to the potential role of the Tema Oil Refinery (TOR), saying its return to active refining could help lower the prices of petrol and diesel if supported with adequate investment and crude supply. “We’ve also heard of TOR coming in to undertake refining.
If that can happen, it may help reduce the price of petrol and diesel in Ghana,” he added.
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