The Institute of Energy Security (IES) wants the National Petroleum Authority (NPA) to be swift in averting what it describes as an imminent fuel shortage in the next two weeks.
The development follows the low levels of fuel stocks by the Tema Oil Refinery and the Bulk Oil Storage and Transportation (BOST).
The Institute also explains that the shortfall has been instigated by the temporary shutdown at TOR due the explosion of a furnace.
“The number of BDCs that have products are very few…as we expect now, these figures might drop further within two weeks; if nothing is done about it, we will have constraint when it comes to fuel supply on the market,” Principal Research Analyst at the IES, Richmond Rockson said.
According to the energy institute, the country’s stock of Gasoline and Gasoil at both the Tema Oil Refinery and the Bulk Oil Storage and Transportation Company (BOST) installations across the country was 86,000 metric tonnes as at the close of business on Monday, February 13, 2017.
Also, the stocks held in-tank at Bulk Oil Distribution Companies (BDC’s) facilities in Tema stood at 24,750 metric tonnes.
A statement on the development said, “The National Petroleum Authority (NPA) revised the Laycan for vessels prior to the explosion at TOR but it failed to produce any positive result especially due to the low discharge and loading flow-rate from the Tema Oil jetty to oil installations in Tema.”
Also, the inability of BOST to discharge LPG products is likely to cause a shortage of the product in the coming weeks.
“IES has found out that, while an LPG vessel belonging to BOST has been at anchorage since January 23, 2017, awaiting space to discharge their products, Fuel Trade within the period has discharged more than two vessels of LPG through the Oil Jetty from January 23, 2017, till date. This practice of unfairness is going to cost the taxpayer an amount of $440,000 in demurrage from January 23, 2017, to date and still counting.”
Meanwhile, Richmond Rockson tells Citi Business News the potential increases in the prices of petrol and diesel will be unbearable for consumers should the NPA fail to intervene anytime soon.
“As we speak, prices are stable but if by next week there is not enough supply to meet demand, in a deregulatory market, the OMCs will be selling at a higher price and that will be dangerous for the ordinary consumer.”