Fuel prices go up significantly from May 16 despite extension of government intervention

Fuel prices across Ghana are expected to increase significantly beginning May 16, 2026, according to the latest pricing outlook released by the Chamber of Oil Marketing Companies and obtained 

The projected increases are expected to affect petrol, diesel, and Liquefied Petroleum Gas (LPG), placing additional pressure on consumers and businesses already grappling with rising living and transportation costs.

Based on data from the Chamber of Oil Marketing Companies, the price of petrol is expected to rise by between 5.29% and 7.30%, potentially pushing pump prices to approximately GHS 15.42 per litre.

Diesel prices are also projected to increase sharply by as much as 7.30%, with a litre likely to sell at around GHS 17.83.

Meanwhile, LPG prices are expected to increase by about 3%, which could see a kilogramme retailing at approximately GHS 17.10.

The projections are based on pricing estimates from oil marketing companies that purchase petroleum products on credit from bulk oil distributors.

According to the Chamber of Oil Marketing Companies, the anticipated fuel price hikes are being driven by a combination of rising international petroleum prices and renewed pressure on the Ghana cedi.

Data from the pricing window shows the cedi depreciated slightly against the US dollar, moving from GHS 11.2057 to GHS 11.3133 per dollar for the May 16 pricing period, representing a 0.95% decline.

The Chamber further noted that the cedi’s year-to-date depreciation averaged 7.8% against major foreign currencies as of May 8, 2026, compared to 2.5% recorded during the same period in 2025.

Although average crude oil prices declined marginally in mid-May from $113.80 per barrel to $112.07 per barrel — representing a 1.52% decrease — global energy markets remain unstable due to geopolitical tensions.

The Chamber explained that the near halt of traffic through the Strait of Hormuz during the ongoing 10-week conflict continues to disrupt the shipment of crude oil, gas, and refined petroleum products to global markets.

The disruption has contributed to elevated energy prices worldwide and intensified fears of rising inflation across many economies, including Ghana.

Analysts warn that prolonged instability in the region could further increase petroleum prices in the coming months if supply chain disruptions continue.

In response to the latest developments, the Ministry of Energy and Green Transition announced the continuation of measures aimed at cushioning consumers from rising fuel prices.

In a statement signed by Richmond Rockson, Spokesperson and Head of Communications at the Ministry, the government said the decision followed a Cabinet meeting chaired by John Dramani Mahama, during which global petroleum market developments were reviewed.

The government had earlier introduced temporary fuel relief measures effective April 16, 2026, by absorbing GHS 2.00 per litre on diesel and GHS 0.36 per litre on petrol.

The intervention was initially expected to end on May 15, 2026. However, following a fresh review, the government has decided to continue subsidizing diesel prices by absorbing GHS 1.07 per litre effective May 16, 2026.

According to the Ministry, the latest intervention will remain in force for two pricing windows, subject to further review depending on global market conditions.

Despite the government’s intervention, fuel prices are still expected to rise this weekend due to sustained pressure from the international petroleum market and the depreciation of the local currency.

Chief Executive of the Chamber of Oil Marketing Companies, Riverson Oppong, earlier indicated that pump prices would have been significantly higher if government intervention measures had not been introduced.

The expected increase in fuel prices is likely to have a ripple effect on transportation fares, food prices, industrial production costs, and the overall cost of living in Ghana.