Fuel prices in Ghana are projected to rise marginally at the pumps starting Friday, January 17, 2025, driven by a combination of rising global crude oil prices and continued depreciation of the cedi. Such changes in fuel prices in Ghana significantly impact everyday costs for consumers due to the fuel price increase.
The cedi has faced significant pressure in early 2025, depreciating by 0.38% against the US dollar in the retail market, adding to the cost of imported petroleum products. According to Dr. Riverson Oppong, Chief Executive of the Chamber of Oil Marketing Companies, these factors are the main contributors to the anticipated price hike in fuel prices in Ghana.
“Ideally, things were going well, but plant prices are rising. In just 24 hours, we observed a 0.33% increase in global Free-On-Board plant prices, alongside continued exchange rate instability,” Dr. Oppong explained, highlighting the contributing factors to the rising fuel prices.
Oil marketing companies are expected to adjust their prices to comply with the regulatory framework set by the National Petroleum Authority (NPA). Consequently, the fuel price increase is inevitable.
“We are not permitted to sell below the floor price set by the NPA. As the floor price adjusts for the next pricing window, our members are mandated to reflect these changes at the pumps,” Dr. Oppong noted.
This development comes amid broader volatility in global energy markets and highlights the challenges faced by oil marketing firms operating in a fluctuating economic environment, particularly with the fuel prices in Ghana. The expected fuel price increase underlines these challenges.
