Ghana receives second shipment of fuel under gold-for-oil policy
Ghana has received a second consignment of 40,000 metric tonnes of oil under the gold-for-oil policy, which arrived at the Tema port on February 19, 2023, signaling the country’s commitment to securing its energy needs amidst a volatile oil market. This follows the first consignment of 40,000 tons of oil received earlier under the deal, bringing the total fuel received under the policy to 80,000 tonnes.
The gold-for-oil policy is part of Ghana’s strategic plan to diversify its sources of foreign exchange, reduce dependence on the US dollar, and secure fuel supplies amidst rising oil prices. The deal involves Ghana exchanging part of its gold reserves for oil from its partner countries, with the aim of stabilizing fuel prices, lowering costs, and removing the foreign exchange conundrum.
According to the Managing Director of Bulk Oil Storage and Transportation Limited (BOST), Edwin Provencal, Ghana is set to receive four more separate gasoline cargoes totaling 155,000 tonnes of fuel by the end of February, as part of the gold-for-oil deal. The shipments will comprise of 35,000 tons of gasoline, followed by another 40,000 tons, and then another two shipments of 40,000 tons each in the last week of February, further highlighting the country’s efforts to secure its energy needs.
Ghana’s Energy Minister, Dr. Matthew Opoku Prempeh, has assured that his ministry will closely monitor every step in the Gold for Oil programme value chain, from the ship that brings the oil, through delivery to the Bulk Distribution Companies (BDCs), to the Oil Marketing Companies (OMCs), and to the pumps. This is in line with the government’s commitment to ensuring that the programme’s objectives of stable and lower prices, and removing the foreign exchange conundrum are not defeated by any defects in the system.
The gold-for-oil deal has been hailed as a bold and innovative move by Ghana to secure its energy needs and reduce its dependence on foreign exchange. It is also expected to enhance the country’s gold reserves, diversify its sources of foreign exchange, and improve its overall economic outlook. The move is particularly timely as oil prices continue to be volatile, and the global energy market remains unpredictable.
The gold-for-oil policy is part of Ghana’s broader efforts to develop its energy sector, expand its economy, and create jobs for its people. The government has undertaken various initiatives in recent years to boost energy production, including the establishment of the Petroleum Hub Development Corporation, the expansion of the Tema Oil Refinery, and the development of renewable energy sources.
Ghana’s receipt of a second consignment of fuel under the gold-for-oil policy is a positive development for the country, as it signals the government’s commitment to securing its energy needs amidst a volatile global energy market. The policy is also expected to boost the country’s gold reserves, reduce its dependence on foreign exchange, and enhance its overall economic outlook. The government’s pledge to closely monitor the gold-for-oil value chain is a welcome move, as it will ensure that the programme’s objectives are not defeated by any defects in the system.
