‘Mahama made the right call’ – COPEC backs GH¢2 diesel price cut

The Chamber of Petroleum Consumers (COPEC) has thrown its support behind President John Dramani Mahama’s decision to reduce the price of diesel by GH¢2 per litre, saying the intervention was necessary to cushion Ghanaians despite its financial implications for the state.

Speaking on TV3, COPEC Executive Secretary Duncan Amoah said the government faced a difficult choice amid heightened geopolitical tensions and rising global oil prices, but ultimately made the correct decision by prioritising relief for consumers.

“I think that if you have to choose between saving 250 million dollars or probably letting that give you some relief, Mr President made the right call obviously.”

According to Amoah, the reduction will provide immediate relief to motorists, businesses and households that have been grappling with rising transport and fuel costs.

“For me as a consumer who would wake up in the morning looking for how much it’s going to cost me to put fuel in my tank, I think that Mr President did get this spot on again.”

While welcoming the intervention, the COPEC Executive Secretary cautioned that subsidising fuel prices whenever international crude oil prices surge is not a sustainable long-term strategy.

He said Ghana must begin implementing structural measures that reduce the country’s exposure to global fuel market volatility instead of relying on periodic interventions.

“Sustainability, Roland, I do not think this is sustainable. This is something that would go into longer-term planning… if there’s something we can do significantly different in order that we do not have to force the hand of the state or the governments going forward into throwing in these subsidies, that I would go for.”

Amoah explained that recurring geopolitical tensions, particularly in the Middle East, continue to create uncertainty in the global petroleum market, making it difficult to predict how long governments can continue absorbing fuel price increases.

The comments come after President Mahama announced on Monday, August 3, that the government would reduce diesel prices by GH¢2 per litre by absorbing part of the cost through the Unified Petroleum Pricing Fund (UPPF).

The measure was introduced to cushion consumers from rising international fuel prices following renewed tensions in the Middle East.