Fuel could sell at GH¢12 tomorrow – OMC boss

Ghanaians might soon breathe a sigh of relief at the fuel pumps if the recent stability of the cedi continues. This was revealed by Dr. Riverson Oppong, the Chief Executive Officer of the Association of Oil Marketing Companies (AOMCs), during an interview on JoyNews’ PM Express on Monday, May 26, 2025.

Dr. Oppong explained that with the cedi holding its ground firmly against the US dollar, fuel prices—especially petrol—could see a sharp drop. In fact, he boldly predicted that petrol prices might fall to GH¢12 per litre during the next fuel pricing window.

“Believe me, in the next window, we are even foreseeing petrol selling for GH¢12,” he said confidently. “This forecast will become clearer by Thursday if the cedi continues with its stability.”

Why the Cedi’s Strength Matters

In Ghana, fuel prices are heavily influenced by the exchange rate between the Ghana cedi and the US dollar. This is because Ghana imports all its petroleum products, and those products are bought in dollars on the international market. So, when the cedi is weak, oil importers need more Ghana cedis to buy the same amount of fuel in dollars, which pushes prices up.

But in recent weeks, the Ghana cedi has been showing signs of strength. It has been more stable and appreciating slightly against the dollar. According to Dr. Oppong, this new trend is playing a major role in reducing the price consumers pay at the pump.

“The cedi is a very big factor in the forex calculation—converting from USD to cedi. So, once the cedi gains strength, the effect is directly felt in the pump price,” he explained.

He said that from May 15 to May 30, the fuel industry has already recorded a price reduction of between 6% to 10%, thanks to the stable cedi and favourable international oil prices.

Ghanaians Feeling the Relief – But It’s Not All Easy

For many Ghanaians, especially drivers and trotro operators, news of a potential fuel price drop to GH¢12 is good news. Over the past few years, fuel prices have gone as high as GH¢16 or even GH¢18 per litre, putting pressure on transportation costs and the general cost of living.

A reduction to GH¢12 per litre will be one of the lowest prices in years, and could help reduce fares, lower food prices, and give some financial breathing space to households already struggling with high inflation and taxes.

However, Dr. Oppong also cautioned that while lower pump prices are good for consumers, they can have negative effects on government revenue, especially in the upstream sector (the part of the industry that involves oil exploration and production).

“As we are happy with the downstream effect—that is, the fuel price going down at the pump level—you also see that there is revenue reduction in upstream,” he said.

This means that if the price of oil is too low, the government earns less from taxes, levies, and royalties related to oil exports and fuel sales. That could affect funding for roads, energy, and other public services.

What’s Driving the Price Drop?

According to Dr. Oppong, two key factors are working together to bring about the current price reduction:

Stability and slight appreciation of the Ghana cedi

Plateauing of international benchmark fuel prices

In simple terms, the cedi is not losing value like it did in previous months, and oil prices on the world market have stopped rising sharply. Instead, they are either stable or slowly decreasing.

This combination, if it continues, could mean sustained relief at the pump for the average Ghanaian.

“With the plateauing of the international benchmark prices, we are likely to see that, and we shall be proud to have that effect on our consumer,” Dr. Oppong added.

Next Pricing Window: All Eyes on GH¢12 Promise

In Ghana, fuel prices are reviewed every two weeks during what is known as a pricing window. The next one begins this week, and many Ghanaians are now waiting to see whether Dr. Oppong’s GH¢12 per litre prediction will come true.

Already, expectations are high, and transport unions, commercial drivers, and fuel station owners are monitoring the situation closely.

“If this GH¢12 becomes reality, we beg the GPRTU and taxi drivers not to cheat us. Let them also reduce the lorry fares small,” said Auntie Akosua, a trader at Kaneshie Market.

“It’s about time we enjoyed some good news in this country. Everything has been going up. Let’s pray the cedi keeps holding on,” said Kweku, a fuel attendant at a station in Takoradi.

What About Diesel and LPG?

While the focus has been mostly on petrol, Dr. Oppong noted that other fuel types such as diesel and LPG (Liquefied Petroleum Gas) are also likely to benefit from the current trend.

Though he didn’t give exact figures for diesel or LPG, he said the same market forces (cedi stability and global oil trends) will apply to those products too.

“Diesel and LPG also benefit from the same pricing factors. So, if the trend continues, we should see reductions across board,” he explained.

Government’s Role: More Than Just Watching

Some analysts believe the government must do more than just enjoy the benefits of a strong cedi. They want the Finance Ministry and Bank of Ghana to take strategic steps to keep the cedi stable, by increasing exports, reducing imports, and managing national debt responsibly.

Others are urging the National Petroleum Authority (NPA) to ensure that Oil Marketing Companies (OMCs) reflect true reductions at the pump, and don’t use technical excuses to cheat the system.

“We don’t want a situation where they say international prices are down and the cedi is strong, yet prices are still high at the stations. NPA must ensure fairness,” said a concerned citizen in Tamale.

Will the Gains Last?

One big question many are asking is: Can this price drop last?

Experts say it all depends on three things:

How long the cedi remains stable or strong

Whether international oil prices remain low

How government manages taxes and levies on fuel

Currently, taxes and levies make up almost 40% of the fuel price, so even if the exchange rate and international prices go down, the benefits can be reduced if government taxes remain high.

Some civil society groups and industry players are calling for a review of these taxes to allow Ghanaians to feel the full impact of falling oil prices.

Conclusion: Hope on the Horizon

The message from Dr. Riverson Oppong is clear: If the cedi holds its ground, Ghanaians can expect petrol to sell at GH¢12 per litre or even lower in the coming days.

While there are still challenges to deal with, like reduced government revenue and unpredictable global markets, this news brings a glimmer of hope in a time when many are struggling with high costs of living.

Let’s all keep our fingers crossed, and most importantly, let’s watch carefully to see whether OMCs and fuel stations truly reduce their prices when the time comes. Ghanaians deserve honest pricing, especially when the economic indicators are pointing in the right direction.

As the next pricing window opens, many are hopeful that this time, the change at the pumps will favour the ordinary Ghanaian.