Ghana faces rising fuel prices due to the Israel-Hamas-Hezbollah war – COPEC

The Chamber of Petroleum Consumers (COPEC) warns that Ghana may face significantly higher fuel prices by the end of 2024 if tensions in the Middle East continue to escalate and the cedi depreciates further.

This warning follows recent price hikes by some Oil Marketing Companies (OMCs) during the first pricing window of October, after four consecutive months of price declines.

Shell has increased the price of its FuelSave Super petrol from GH¢13.49 per litre in September to GH¢13.79, while FuelSave Diesel has risen from GH¢13.99 to GH¢14.35 per litre.

These latest increases have raised concerns among consumers already struggling with the high cost of living.

Executive Secretary of COPEC, Duncan Amoah, warned that the ongoing geopolitical tensions between Israel, Hamas, and Hezbollah could significantly impact Ghana.

He indicated that consumers will likely face higher fuel prices as a result.

Mr Amoah emphasized that the government’s gold-for-oil policy will not prevent these anticipated price increases, leaving consumers to dig deeper into their pockets to fill their tanks.

“You could end up paying more than you currently are paying because the Cedi is still depreciating. Israel, Hezbollah, Hamas…the triangle, whatever tensions if they escalate, will simply mean the supply side will be hampered and then demand at this time of the year is likely to surge.

“So if demand should go up due to manufacturing and aviation systems connecting, then the expectation will be that global prices or international market prices will go up.

“Unfortunately for us in Ghana, we don’t have any safety nets to cushion us if they do. From where we sit, there is the possibility that Ghanaians may end the year paying a little more for fuel.”