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General News of Thursday, 22 August 2002

Source: Chronicle

Minister Blames Distributors for Shortage of Kerosene

The Minister of Energy, Mr. Albert Kan-Dapaah, has noted that shortage of petroleum products has major dislocation consequences on our national economy.

He said already information reaching his outfit indicates that our rural folk who deserve supply and consideration are rather at the mercy of unscrupulous merchants and re-sellers who have been selling kerosene to them at an astronomical price, though the commodity is not in short supply in the country as a whole.

The minister, who was launching the rural kerosene distribution system in Takoradi last Tuesday, traced their unfortunate situation to the fact that kerosene is a scarce commodity in the rural areas because of its poor distribution systems.

According to the minister it is against this background that his ministry in collaboration with the Ministry of Local Government and Rural Development has decided to ensure that kerosene is made available at all times at officially approved prices and also offer employment to interested investors to retail kerosene in the rural areas.

Under the first phase of the programme, 700-5000 litre capacity surface tanks complete with accessories would be fabricated and distributed on loan basis to the district assemblies for further distribution to the kerosene re-sellers in the rural areas.

According to the minister, 400 out of the 700 surface tanks have already been fabricated and delivered to his ministry, adding that in the next few weeks the remaining 300 would be delivered for distribution.

"Government would supply under the programme a total of 2,200 surface tanks and accessories over the next two years. The overall programme will cost over ?10 billion," he said and that within the next two years, each district will receive at least 20 surface tanks and accessories to be placed at locations to be determined by the assemblies to achieve the stated objective of the programme.

Hon. Kan-Dapaah, who is also the Member of Parliament (MP) for Afigya Sekyere East in the Ashanti Region, also noted that the launching of the programme is to demonstrate the commitment of the government to our hardworking rural brothers and sisters who provide the bread basket of our economy.

This will ensure that kerosene, predominantly used for cooking, heating and lighting, will no more be a scarce commodity in the rural areas.

He also used the occasion to recommend to the district assemblies to enter into dialogue with rural banks operating in their districts to become partners in the programme by providing seed capital and needed revolving credits to create a better commercial environment for the full success of the initiative.