Kwadwo Poku, an energy expert, has encouraged the Ghana National Gas Company Limited to sell gas at a lower price to Ghanaians so that their miseries might be alleviated.
Ghana Gas receives natural gas for free from Ghana’s Jubilee oil reserves, he noted in a statement.
Given that 95% of the whole free product is sold to create power, he believes Ghana Gas’ Liquefied petroleum gas (LPG) would be relatively inexpensive. Mr Poku emphasized that this is regrettably not the case.
Full Statement
GHANA GAS SHOULD SELL LPG CHEAPER TO HELP SUFFERING GHANAIANS
LPG is supposed to be cheaper and clean fuel for domestic use. To save the environment, the poor in society are encouraged to use LPG instead of Charcoal.
Ghana Gas gets LPG as a by-product from the natural gas from our oil fields. Natural Gas is mainly methane (95%), which Ghana Gas supplies to the power-producing companies to generate electricity. The LPG Part of the Natural Gas (Butane and Propane) is sold to a company called Quantum Terminal Group. The LPG from Ghana Gas makes up about 40% of our total national consumption.
Ghana Gas gets the natural gas from our Jubilee oil fields for free. Since 95% of this free product is sold to generate electricity, you will expect the LPG from Ghana Gas to be very affordable. This, unfortunately is not the case. Ghana Gas and this Quantum company is using international LPG benchmark price to price their LPG. So, in these difficult times as Petroleum prices are becoming so expensive, Ghana Gas also uses this high price to sell to Ghanaians our own gas. Remember, they get it for free in the first place.
Most LPGMC companies who trade in LPG in Ghana do not buy the Ghana Gas LPG from Atuabo because they can buy it cheaper from Tema. This situation led to NPA to issue a letter dated 8th March 2022, instructing companies to buy LPG from the Quantum Terminal else NPA will not pay the UPPF to them. In a free market, you would have thought companies will be allowed to go for bargains.
In recent times, we hear that the management of Ghana Gas is doing a magnificent job for Ghana. My question will be, what is this magnificent job if you are making free money from poor Ghanaians? Why is our gas sold to a middle man who also puts his margin before the LPGMC buys and sells to us? Who owns Quantum Terminal Group??
Ghana Gas should immediately reduce their LPG price, which is our Gas, given to us for free by the Jubilee partners. In these difficult times, EVERY LITTLE WILL HELP.
KWADWO N. POKU.
