The Former Minister of Energy, and Vice Presidential Candidate of the New Patriotic Party, NPP, Dr. Matthew Opoku Prempeh, has stated that without the introduction of the Gold for Oil programme in 2022, Ghana’s economy would have been on the verge of collapse.
According to Dr. Prempeh, the initiative played a crucial role in conserving the Bank of Ghana’s foreign exchange reserves and reducing the burden of foreign currency shortages in the downstream petroleum sector.
Speaking at the Chamber of Bulk Oil Distributors (CBOD) Town Hall Meeting with the New Patriotic Party (NPP), he explained that the forex required by Bulk Distribution Companies (BDCs) was straining the Bank of Ghana’s reserves. This pressure often forced BDCs to turn to the black market, driving up fuel prices.
The Gold for Oil programme was thus introduced to stabilize fuel prices and reduce pressure on the Bank of Ghana’s forex reserves.
The NPP manifesto, presented at the meeting, outlined plans to expand the Gold for Oil programme to ensure sustained fuel price stability, reduce forex pressure, and enhance liquidity in the downstream petroleum market.
The manifesto also detailed steps to strengthen the National Petroleum Authority (NPA) by enhancing its regulatory capacity and promoting an export-oriented petroleum hub.
However, the Chief Executive Officer of the Institute for Energy Security (IES), Nana Amoasi, disagreed with the former minister, arguing that the programme did not fully achieve its intended objectives.
The CEO of CBOD noted that the town hall meeting served as a platform to engage the NPP on their policies for the downstream petroleum sector.
The Chamber plans to hold a similar engagement with the National Democratic Congress (NDC) next week to discuss their manifesto policies for the energy sector.
