In the midst of the quality concerns raised over Sentuo Oil Refinery’s finished products, the Oil Marketing Companies (OMCs) are recommending to the government to revamp the Tema Oil Refinery to help deal with the situation.
The OMCs say the oil refined by the local oil refinery company, Sentuo Oil and supplied to the market is substandard according to industry benchmarks and hence could pose far-reaching consequences for the consumer.
Chief Executive Officer (CEO) of the Oil Marketing Companies Association, Dr. Riverson Oppong says the regulator, the National Petroleum Authority (NPA) has been informed of the concerns, and some measures have been implemented.
“Our issue with Sentuo has to do with the fact that the quality of products that they are bringing to our marketers is not right. We have raised our issue with NPA and we are having a dialogue to discuss it,” the CEO said in an interview.
However, Dr. Oppong is of the view that the surest way to deal with the menace of substandard oil the industry is facing from Sentuo is revamping the age-old Tema Oil Refinery.
The industry player is of the view that the national asset which has become a white elephant can be revived to produce high-quality fuel for the country rather than focusing on a private business that will repatriate all profits after producing low-quality fuel.
He is optimistic that revamping TOR is doable if and only if the government sets its heart and mind to it.
“We wish Tema Oil Refinery was working, to be honest with you because I’m a Ghanaian and for local content purposes, I would rather wish we pay more attention to the national asset rather than a private business. Even though PPP is a way to go to have an investment in the country, why leave TOR and go and support a Chinese business that takes all the money from Ghana and takes it to China?,” the CEO of the OMCs indicated.
He stressed that, “TOR has the ability to be revamped. There is no doubt about it. It’s a government decision to make it work.”
The latest quality concerns raised by the OMCs is the second time a similar concern has come up with regards to the operations of Sentuo. The OMCs brought forth similar concerns in February this year.
There is the fear that the issues at Sentuo Oil Refinery have the potential to not only affect the operational efficiency of oil marketing companies but also negatively impact customer satisfaction.
Low-quality fuel can lead to a number of problems for consumers, including engine damage, increased maintenance costs, and reduced fuel efficiency. Vehicles running on substandard fuel are more prone to breakdowns, which not only frustrates drivers but also adds to their financial burden. In the long term, the use of inferior fuel could shorten the lifespan of vehicles and machinery, forcing consumers to spend more on repairs or replacements much sooner than anticipated.
