Ban on new LPG facilities lifted

Government has lifted the ban placed on the construction and operations of new Liquefied Petroleum Gas (LPG) facilities, five years ago.

Consequently, it has directed all Oil Marketing Companies (OMCs) and Liquefied Petroleum Gas Companies (LPGOCs) that were affected by the ban, to resubmit applications to the National Petroleum Authority (NPA) for consideration.

The lifting of the ban followed a cabinet meeting held on Wednesday, which granted special dispensation to allow the completion of construction of stranded LPG stations across the country.

The directive was in a letter signed by the Chief Executive Officer (CEO) of the NPA, Dr Mustapha Abdul-Hamid, which was addressed to the chairman of the LPG Marketers Association of Ghana, copied to the chairman of the LPG Tanker Drivers Association and the Bulk Tanker Drivers Union.

It was also copied to the GOIL Tanker Drivers Union, Ghana Petroleum Tanker Drivers Union, Ghana LPG Operators Association and the Industry Coordinator of the Association of Oil Marketing Companies, Accra.

“We are pleased to inform you that Cabinet at its 35th Sitting, held on August 2022, has granted a special dispensation to allow the construction of stranded LPG stations across the country that were affected by the ban on the construction and operation of new LPG facilities.

“We are therefore by a copy of this letter requesting all OMCs/LPGMCs who were affected by this directive to resubmit their application to the Association”, the letter said.

The LPG Marketers Association of Ghana, the Ghana LPG Operations Association and the Tanker Drivers Association of Ghana in the course of the week declared an industrial strike action.

The striking group raised a number of concerns, including the shutdown of some LPG stations by the government in August, 2017.

This followed the gas explosion at Atomic Junction near Madina, in Accra, which killed more than five people and injured many.

The ban was to allow the government conduct a comprehensive audit into the operations of the GPGMCs and assess the safety levels of their facilities.

According to them, the closure of the stations was having an impact on their livelihood as well as LPG customers, who had been denied access to LPG products due to its scarcity, which had forced them to switch to the use of charcoal.

BY Cliff Ekuful & Benjamin Arcton-Tettey

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