BOST dismisses fuel shortage claims

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The Bulk Oil Storage and Transportation (BOST) Company is fighting off claims suggesting there is an imminent fuel shortage in Ghana.

Some analysts have, in the last few weeks, predicted such a situation citing the depreciation of the cedi as a key factor.

But the Managing Director of BOST, Edwin Provencal, says that the company has at least 13 days of fuel in its own reserve in addition to other private storage facilities.

He stressed that the claim “is not accurate at all.”

“We have tank farms across the length and breadth of the country. When I came back to check, we have almost 40 days in private storage plus the 13 days in BOST; so, we are nowhere near running out.”

There have been calls for the BOST margin, which adds up to the price of fuel, to be scrapped.

But Mr Provencal believes this would have dire consequences for fuel supply beyond the Greater Accra region.

“If you talk about taking away the BOST margin because the BOST margin comes at a cost; that cost is a social cost. Don’t just take away the BOST margin, also take away that social cost – then you are being fair and comparing apples to apples and oranges to oranges.

“But you don’t say take away the BOST margin but BOST will continue to manage the depots in Bolga, in Savelugu, in Buipe, in Akosombo… it’s not fair. Private money does not do social project but BOST is mandated to do these things and they should come at a social cost.

“And that cost is the BOST margin; so, if you leave it to me, a private sector person, I am going to shut down all these other depots and also operate solely in Accra [and] Tema,” he added.