Petroleum retailers threaten to boycott fuel with temperature above 20 degrees

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The Ghana Petroleum Retailers Association has joined calls urging the National Petroleum Authority (NPA) to enforce a directive it gave to Bulk Oil Distributors and oil depots to keep the temperature of their petroleum products at 20 degrees Celsius before it is transported.

The National Petroleum Authority in a recent directive aimed at reducing losses in the transport of fuel charged the BDCs not to exceed the said temperature.

The directive which is contained in a document published by the NPA stated that to minimize the effect of temperature on the losses experienced in transit and at the customer end, all loading depots are to comply with the compensation at 20 degrees Celsius for all products.

This is because as the temperature of the fuel increases, the initial quantity will be lost after it drops.

Depots were therefore required to install temperature compensated meters to meet the 20 degree Celsius product compensation at the loading center even though the globally accepted temperature is 15 percent.

In an interview with Citi Business News, the Chairman of the Ghana Petroleum Retailers Association Commodore E.M Mensah explained that directive is been flouted causing retailers to lose thousands of cedis daily.

He warned that members of the association are threatening to boycott petroleum products that have temperatures above 20 degrees Celsius.

“In case I don’t succeed in restraining my members, Let us picture a situation where one day retailers also say they will not accept petroleum products with a temperature higher than 20 degrees Celsius. There will be a mess in this country. Let us try to avoid such a situation,” he warned.

He warned that the situation could cause challenges if it is not addressed to avert such a development.

On their part, The Ghana National Petroleum Tanker Drivers Union is also appealing to the NPA to immediately enforce the 20 degrees temperature level requirement for fuel before they are transported.

The union says the lack of enforcement of the temperature level has resulted in its members losing about a million cedis on a daily basis.

The union, which has over five thousand members across the country is responsible for distributing fuel across the country.

Speaking to Citi Business News, Chairman of the Union, George Nyaunu warned that they may be compelled to seek redress from the Minister of Energy if the state authorities required to enforce the laws on the temperature level do not act immediately.

“The Energy Minister has given us assurances and we hope the right authorities will work on the assurance. Our members cannot continue to take that cost. It is too much”

Meanwhile, the Chamber of Petroleum Consumers (COPEC), is also threatening a court coming Monday if the depots do not use the temperature compensated meters to meet the 20 degree Celsius product compensation directed by the NPA.

by Lawrence Segbefia