Minority threatens court action over petroleum price build up

The Minority in Parliament has threatened to sue the government if the 100 per cent Bulk Oil Storage and Transportation (BOST) Company Limited margin slapped on petroleum price build up is not immediately removed. 

According to the Minority group, the imposition of that tax regime by National Petroleum Authority (NPA) was unlawful since that tax has been passed by Parliament. 

Alhaji Mutawakilu Adam, Ranking Member on Energy yesterday briefed the media in Parliament over the new development, adding that the unilateral decision by NPA was unlawful since it was only Parliament which was clothed by law to enact laws to cover taxes. 

He said since the present government took over the administration of the country, petrol prices have gone up continuously from GH¢14.00 to GH¢20.00, adding that during this festive occasion, one would think that the government would ameliorate the plight of the people, it has rather worsened the situation with hike in fuel prices as Christmas gift.

The Domingo MP said all along, the Minority has been calling for the removal of the BOST margin because the aim of establishing the margin was to support BOST to have strategic stocks for future emergency situation, saying, “As we speak, there is no strategic stock, so why are they taking the stock margin in the first place.”

He accused the government of being insensitive to the plight of the people and cautioned that if by a week the tax had not been removed, then the Minority would test the law in court. 

The NPA on Friday December 13, 2019, directed Oil marketing Companies (OMCs) and LPG Marketing Companies (LPG-MCs) to apply an upward review of a combined four pesewa to the pump prices. 

Per the directive, the BOST margin which currently stands at 3p/litre or some cumulative GH¢10,200,000.00 from consumers, is to be increased by 100 per cent or some cumulative GH¢20,400,000.00 from consumers based on conservative estimates of some 340 million litres of fuel consumed every month.

BY LAWRENCE MARKWEI

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