The Chief Executive Officer of the National Petroleum Authority (NPA), Alhassan Tampuli is blaming the recent hikes in fuel prices on the devastation caused by hurricanes Harvey and Irma in the United States of America (USA).
He said the hurricanes affected oil supply globally.
Some Oil Marketing Companies (OMCs) have begun reviewing prices of their petroleum products following recent hikes in crude oil prices on the international market.
The marginal depreciation of the country’s currency has also affected oil prices.
The 11 different taxes on petroleum products in the country have sparked calls on the government and other stakeholders to eliminate some of them, described by a section of the motoring public as falling in the category of nuisance taxes.
But Alhassan Tampuli speaking on the increase said apart from the effect of the hurricanes, the international price at which fuel currently sells also has had an impact on the price build-up as well as the cedi-dollar rate.
In an interview on Accra-based Starr FM, he said “The price build up is made of three essential component, first of all we have the international price at which we buy the product, and secondly we use the exchange rate. The second ingredient is the exchange rate, the third one is the taxes, levies and statutory margins.
“In terms of the taxes, levies and others nothing has changed. As a matter of fact, in this year’s budget, the taxes were rather reduced. Excise tax was completely taken out and then the special petroleum tax was reduced from 17.5% to 15% so government has done some amount of tinkering in the areas that it has control over.”