MoFAD warns against premix fuel manipulation, sets GHS 176.40 price

The Ministry of Fisheries and Aquaculture Development has issued a stern warning against illegal practices in the premix fuel distribution sector, including price manipulation and under-delivery, while announcing new price guidelines.

The Ministry of Fisheries and Aquaculture Development (MoFAD) has cautioned premix managers and oil marketing companies against price manipulation, under-delivery, and diversion of premix fuel. Sector Minister Emelia Arthur made this announcement last week, also detailing revised ex-pump prices for the vital fuel. This move directly addresses long-standing issues characterising the fuel's distribution across Ghana. MoFAD's warning comes as premix fuel remains critical for Ghana's marine fishing industry, powering thousands of fishing canoes along the coastline. Over the years, the downstream distribution chain has faced accusations of political interference, hoarding, illegal siphoning, and black-market sales. These activities have diverted subsidised fuel away from genuine fishers to commercial buyers outside the fisheries value chain, harming the livelihoods of many. This initiative fits into Ghana’s broader economic narrative of combating corruption and improving transparency in critical sectors. The premix fuel subsector has consistently struggled with opaque distribution practices and significant revenue leakages at numerous landing beaches. Ongoing reforms aim to restore confidence in the management system and ensure fair access to fuel supplies for authentic fishers. Strengthening economic activity in coastal communities is a primary goal, given the sector's importance to national food security and employment. Minister Emelia Arthur explicitly stated that each tanker delivering premix fuel must discharge 13,500 litres. She directed Landing Beach Committees (LBCs) not to endorse delivery waybills if the quantity supplied falls short. Ms. Arthur also stressed that committees must immediately report any under-delivery to the ministry for sanctions against responsible oil marketing companies. This strict adherence to quantity aims to prevent under-delivery. These new directives carry significant implications for the premix fuel market and fishing communities. The fixed price of GHS 176.40 per yellow 'Kufuor gallon' standardises costs for fishers, though LBCs may charge up to GHS 180 for change difficulties. The National Premix Fuel Secretariat (NPFS) has been conducting a nationwide accountability drive since March, working with Metropolitan, Municipal, and District Chief Executives (MMDCEs). This drive focuses on strengthening transparency and financial oversight of premix fuel revenues and the Community Development Fund. This is designed to ensure proper use of the 47 percent surplus allocated to LBCs for operations and the 53 percent reserved for community development projects. These reforms are crucial for supporting genuine fishers and ensuring that state-subsidised fuel effectively reaches its intended beneficiaries. By tackling corruption and enforcing clear guidelines, MoFAD seeks to stabilise fuel supply, improve operational efficiency for fishers, and foster economic growth in Ghana's coastal regions. Market players, including oil marketing companies and landing beach committees, will face heightened scrutiny and accountability.

MoFAD warns against premix fuel manipulation, sets GHS 176.40 price

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