Calls Mount for Removal of BOST Margin as Fuel Costs Rise
The Centre for Environmental Management and Sustainable Energy (CEMSE) has renewed calls for the government to abolish the Bulk Oil Storage and Transportation (BOST) margin, describing it as a hidden tax that inflates fuel costs and worsens inflationary pressures in Ghana.
The levy, introduced to support BOST in maintaining storage and distribution infrastructure, has quadrupled in five years, rising from GH₵0.03 per litre in 2020 to GH₵0.12 by August 2025. Over the same period, BOST’s revenues from the charge more than doubled from GH₵211mn in 2020 to over GH₵424mn by 2023.
Critics argue the funds have been misused, citing a jump in spending on training, seminars and conferences from GH₵3mn in 2020 to GH₵20mn in 2023. The much-publicised Afram Plains pipeline project remains incomplete, with some imported pipes reportedly declared unfit for purpose.
“At the same time, BOST has become a profitable business, posting billions of cedis in terminal and commercial revenues,” CEMSE said in a report released this week. “If other limited liability companies like TOR or ECG don’t receive free levies, why should BOST?”
The centre warned that the levy directly raises fuel and transport costs, adding to inflationary pressures and straining household budgets. With private operators already managing 80 per cent of storage and transport capacity, CEMSE argued the BOST margin was redundant and gave the state-owned firm an unfair advantage.
“Every extra pesewa added to fuel prices pushes up the cost of living. The BOST margin is no longer a safety net, it’s a hidden tax,” the report said, calling for the levy’s immediate removal.
