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COMAC threatens to halt Atuabo LPG deliveries over price gap

COMAC threatens to halt Atuabo LPG deliveries over price gap

The Chamber of LPG Marketing Companies (COMAC) has warned the National Petroleum Authority (NPA) and government officials that Liquefied Petroleum Gas (LPG) deliveries from Atuabo may be suspended unless urgent action is taken to address a nearly GH¢1.00/kg price gap with Tema-based suppliers. The warning highlights growing tension within Ghana’s downstream petroleum sector and concerns over market imbalance.

In a formal letter to the NPA, COMAC Chief Executive Officer, Riverson Oppong, revealed that “Sage Petroleum (Atuabo) is currently selling LPG at GH¢12.65/kg,” significantly higher than competitors operating in Tema, including Alpha (GH¢11.66/kg), Matrix (GH¢11.65/kg), and FuelTrade (GH¢11.66/kg). This pricing disparity, he noted, places marketers operating in the Atuabo zone at a competitive disadvantage.

The letter described the price difference as “not a marginal difference — it is a structural disadvantage that erodes the viability of Atuabo-zone operations.” According to COMAC, the continued gap threatens the sustainability of LPG businesses in the area and could disrupt supply chains if not addressed promptly.

To resolve the issue, COMAC has proposed two key options to the NPA. The first is price alignment, urging regulators to “direct Sage Petroleum Limited to price its LPG in line with Tema-based suppliers, eliminating the unfair burden on Atuabo-zone LPG marketers.”

The second option is zonal flexibility. COMAC has requested that if Sage Petroleum does not adjust its pricing, authorities should lift existing zonal restrictions to allow LPG marketers to load products from Tema into the Atuabo zone, thereby restoring competitive access and stabilising supply.

The association warned of serious consequences if no action is taken, stating that “continuing to absorb losses is no longer sustainable,” and cautioning that trucks may be grounded and deliveries suspended after the holiday period. Such a move could affect LPG availability in parts of the country, particularly in the western corridor.

To ensure wider government attention, the letter was copied to the Ministry of Energy & Green Transition, the CEO of Sage Petroleum Limited, the CEO of Ghana National Gas Company Limited, as well as chief executives of LPG Marketing Companies (LPGMCs) and Oil Marketing Companies (OMCs).

The development underscores mounting pressure within Ghana’s LPG sector, with COMAC stressing that “immediate regulatory action is required” to uphold market fairness, protect consumers, and preserve the integrity of the national LPG supply chain.

As of now, the NPA has yet to respond publicly, leaving stakeholders in the Atuabo LPG market uncertain as COMAC intensifies its call for urgent intervention.

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