Adnan Adams Mohammed
Sale of fuel provided by Sentuo Oil Refinery has been suspended by the regulator of the downstream petroleum sector.
The National Petroleum Authority (NPA), directive comes against the Chinese-owned refinery company, over concerns of alleged substandard quality of the product.
The decision to suspend operations was in response to appeals from the Chamber of Petroleum Consumers (COPEC) and the Institute for Energy Security (IES) to halt Sentuo Oil Refinery’s activities due to purported illicit practices. In their joint statement, COPEC and IES raised alarm over the refinery’s operation without the requisite permit from the NPA, as well as allegations of supplying inferior fuel to the Ghanaian populace.
Highlighting the regulatory framework established by the NPA Act 2005, which mandates all entities involved in downstream sector commerce to obtain board approval prior to commencing operations, the statement emphasized that Sentuo Oil Refinery purportedly failed to obtain the necessary permits for oil processing and trading.
Despite ongoing discussions, Sentuo Oil Refinery remains under scrutiny for its compliance with regulatory standards and the quality of its fuel supply to consumers in Ghana.
Before NPA’s suspension, COPEC and IES in a statement last week, raised concerns about the refinery operating without the appropriate permit from the NPA and also supplying alleged substandard fuel to Ghanaians.
The institutions, in the statement, explained that in line with the provisions of the NPA Act 2005, all individuals engaging in business or commercial activity in the downstream sector of the industry must acquire a permit from the board before operating.
However, IES and COPEC insist that Sentuo has not acquired the necessary permits for oil processing and trading.
“These worrying developments by the Sentuo Oil Refinery in pumping sub-standard products unto the Ghanaian market, if left to continue could see a surge in malfunctioning engines, particularly in the Greater Accra, Ashanti, and the three Northern regions as a larger bulk of these bad products are believed to have been trucked to these regions.”
The energy watchdogs also called on the Special Prosecutor to investigate the refinery’s activities.
They also warn that they will take legal action against the Ghana Standards Authority and the National Petroleum Authority if the situation is not addressed.
