The Chamber of Bulk Oil Distributors (CBOD) is calling for investigations into oil marketing companies selling fuel below the regulated floor price, warning that the practice could signal illegal activity within the downstream petroleum sector.
Speaking in an interview with 3business, on 21 January, CBOD’s Chief Executive, Dr Patrick Ofori, urged regulators to crack down on what he described as non-compliance and unscrupulous conduct in the industry.
He said the floor price mechanism was introduced to curb illicit practices and protect the integrity of the market and insisted that companies undercutting it must be scrutinised.
“While the floor price may be one of the mechanisms to avert some of these illicit activities and non-compliance within the sector, we push for the regulator to crack down on all those who have been found culpable,” Dr Ofori said.
He added that any company claiming it can sell fuel below the approved minimum price should be investigated to determine how it is sourcing and pricing its products.
Adding that, “Anybody who can boast of selling below the floor pricing needs to somehow be investigated in terms of how he’s getting it.”
The call follows recent comments by the Chief Executive of Star Oil, who suggested his company could offer lower fuel prices if it were not restricted by the floor price policy.
Ghana’s National Petroleum Authority (NPA) introduced the floor price mechanism in 2024 as part of efforts to stabilise fuel prices, prevent predatory pricing and ensure fair competition across the sector.
CBOD says strict enforcement of the policy is critical to maintaining transparency and protecting law-abiding operators, warning that failure to act could undermine confidence in the petroleum market.
