The rising cost of fuel prices in the country has prompted a Cabinet discussion on possible subsidies for petroleum consumers.
As the price hikes bite hard on consumers, Deputy Minister for Energy, Andrew Agyapa Mercer, has stated although it would come as a cost to the taxpayer, Cabinet is taking the necessary steps to find relief for Ghanaians.
He told Joy Business a recommendation from the National Petroleum Authority and the Ministry has been submitted through the Ministry of Finance for consideration.
Petroleum prices have witnessed a significant increase this year due to demand pressures on the international market as a result of tensions in Europe and the depreciation of the cedi.
The situation has compelled the government to consider some drastic measures to ensure that consumers are not overburdened.
Andrew Agyapa Mercer hinted the recommendations will include the suspension of the deregulation policy so the government could control petroleum prices.
“It’s unfortunate and we as a government have taken inputs from the NPA as an agent of the ministry to forward to the Ministry of Finance to take a look at, and subsequently submit to the cabinet for some direction on what further relieves – if any that government could introduce to cushion Ghanaians.”
“The price has gone up beyond the reach of many Ghanaians. So we ought to begin the conversation as to whether we as a nation have to set a ceiling beyond which the deregulation is suspended for government intervention to be introduced. That’s a conversation we should have because whatever subsidy from the government will have to be paid for”, he said.
Asked about the timeline for the Cabinet decision, he responded, “It’s an ongoing process that has commenced and is being deliberated upon, so NPA will come out with the best decision that will be in the interest of all”.