The National Petroleum Authority (NPA) has introduced a new price floor for petroleum products for the second pricing window of February, requiring Oil Marketing Companies (OMCs) and LPG Marketing Companies (LPGMCs) to adhere strictly to the set minimum prices.
The directive, effective from February 16 to 28, 2025, mandates that no company should sell fuel below the established threshold, with violators at risk of facing potential sanctions from the regulator.
The price floor for petrol and diesel has been set at GHȼ12.56 and GHȼ 13.45 per litre, respectively, while LPG has been fixed at GHS 14.26 per kilogram.
The move aligns with the Petroleum Pricing Guidelines, which seek to ensure stability in the downstream sector.
The newly introduced price floors, however, do not factor in the premiums charged by International Oil Trading Companies (IOTCs), operating margins of Bulk Import, Distribution, and Export Companies (BIDECs), or the marketing and dealer margins of OMCs and LPGMCs.
These cost components will continue to be determined independently by the companies, as stipulated under the country’s price deregulation policy.
The NPA’s enforcement of the price floor is expected to prevent price undercutting among industry players, which could destabilize the market.
