Adnan Adams Mohammed
Stakeholders in the downstream petroleum sector have resolved to abandon the controversial Gold-For-Oil programme on the basis that it has not fulfilled its objectives. The Energy Minister, has therefore confirmed that the current administration would discontinue the Gold-for-Oil programme and replace it with a better system.
Ghana’s gold-for-oil policy, marketed as a daring move to stabilize the cedi, now finds itself ensnared in execution flaws, questionable efficacy, and mounting political discord. As its true impact remains cloudy, the policy may soon join the long list of bold yet faltering attempts to tame exchange rate volatility of Ghana’s turbulent currency.
“There’s a high level of opacity, and the clarity is not there,” John Jinapor said in an interview last week. He referenced the Auditor-General’s report, which had flagged issues with theprogramme, reinforcing claims that it lacked accountability and efficiency. “If it were that clear and transparent, we wouldn’t need the reforms we are pursuing,” he added.
Instructively the International Monetary Fund had earlier expressed reservations over the initiative, making the Bank of Ghana to retreat from its original role in its implementation.
Consequent to such widespread reservations, the Chief Executive of the Association of Oil Marketing Companies (AOMCs) and LPG Marketing Companies, Dr. RiversonOppong, expressed disappointment with the much- touted Gold-for-Oil (G4O) programme. Dr. Oppong argued that the initiative did not meet its intended objectives and disrupted the industry’s supply chain.
“In the long run, we have seen how this was introduced, and the fact is, it absolutely didn’t curb energy pricing in any way,” Dr. Oppong stated.
He noted that towards the end of 2024, Ghana experienced fuel shortages because Bulk Oil Distribution Companies (BDCs) struggled to plan their imports alongside the Gold-for-Oil supply. “As a result, BDCs were reluctant to import fuel, which led to supply challenges,” he explained.
Dr. Oppong further questioned whether the programme had fulfilled its primary goal of reducing fuel prices, stating emphatically, “The answer is a big no.”
He emphasized that industry players were waiting for the government to outline a new framework to replace the existing policy.
“With dialogue, I believe we can come up with a better solution,” he added.
Meanwhile, the energy minister has pleaded for time to phase out the programme. “You need time to put a workable system in place. In the interim, we are making adjustments to reduce losses and enhance transparency, but ultimately, we will replace it,” he stated.
The government’s decision to phase out Gold-for-Oil is expected to pave the way for a new fuel pricing policy, with industry players advocating for a more predictable and transparent framework
Ho water crisis to end.. as GWCL promises new
pumps
The Managing Director of the Ghana Water Company Limited (GWCL), Mutawakilu Adams, has assured residents of Ho and its surrounding communities that steps are being taken to resolve their ongoing water crisis.
According to Adams, the company has ordered two new machines to replace the old and faulty ones at the Kpeveheadworks, which has suffered multiple breakdowns in recent weeks, disrupting water supply across the municipality.
The frequent failure of the Kpeve headworks pumps in January has led to a severe water shortage, forcing residents to travel long distances in search of water. Hospitals, schools, and other institutions have also been severely affected by the crisis.
Volta Regional Minister James Gunu, along with GWCL management and traditional leaders from Ho and Kpeve, toured the Kpeve headworks to assess the situation, last week.
Speaking to the media after the inspection, MutawakiluAdams reaffirmed the company’s commitment to resolving the issue. “We have placed orders for two brand-new machines to replace the faulty ones, ensuring a more effective and reliable water supply,” he assured.
Residents remain hopeful that the arrival of the new equipment will bring lasting relief and end the recurring water shortages in the region
