Bawumia Calls for Collaboration Among Oil Companies

The Vice President of the Republic of Ghana, Dr Mahamudu Bawumia, has indicated that the country’s vison of becoming a Petroleum hub may not be realised if oil service providers fail to consolidate their efforts.

Speaking at the second edition of the Ghana International Petroleum Conference, held in Accra, yesterday, Dr Bawumia said Ghana would be better positioned to compete within the sub-region if service providers like Bulk Oil Distribution Companies (BDCs) came together to form a formidable force.

“A petroleum hub for refined petroleum products is one of the important growth pillars envisaged for our economy…you would agree with me that it is time for the petroleum service providers especially DBCs to develop their capacity to compete favourably with multi-national companies and become multi-nationals in their own rights within he sub region,” he said.

According to the vice president, DBCs, in combining their businesses instead of going solo, would help them get enlisted on the Ghana Stock Exchange, which would in turn to raise the needed capital to expand their businesses and also venture into other markets.

Dr Bawumia therefore called on stakeholders to evaluate their business modules to support the government in achieving its vision in making Ghana a leading petroleum hub in Africa.

In a related development, the Chief Executive Officer (CEO) of the Ghana Chamber of Bulk Oil Distributors, Mr Senyi Hosi, has charged Government to deal with the challenges of smuggling and export dumping in the country’s downstream petroleum sector.

He recounted that in 2017, the country had lost a whooping GH¢102 billion to the menace, and called for a dialogue between policymakers, regulators and industry players.

For Ghana to become the petroleum hub envisioned by government, Mr Hosi said the country would need policies that would help rake in the $50 billion required to realize the vision.

It is projected that out of the $50 billion, government would raise $5 billion while the private sector is expected to pool in the rest.

By: Grace Ablewor Sogbey/ [email protected]