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Business News of Monday, 21 May 2018


LPG retailers begin strike over cylinder recirculation module

Ghanaians seeking to fill up their gas cylinders today will not be served at any LPG retail outlet as the retailers have begun their strike to protest government’s decision to implement that cylinder recirculation module.

The gas operators have long kicked against the programme, indicating that it was inconsiderate and will lead to the collapse of their businesses.

The President of the Liquefied Petroleum Gas Operators Association, Torgbi Adaku V, in a Citi News interview said the planned strike will be observed nationwide.
He said no LPG filling station will open for business from this morning until the government is ready to listen to their concern.

“It is coming off today. We are closing the [gas] stations. No station is going to open,” he said.

LPG marketers and gas tanker operators have all kicked against the module which they say will destroy the gas retail industry they have built over the last 25 years.

They have accused the government of conniving with some foreign investors to implement the program and eventually kick them out of business.

As part of the module, gas cylinders will no longer be filled up as gas retail outlets but cylinders will be bought from distributors each them it runs out.

Meanwhile, the Association of LPG Marketing Companies has expressed fears of a crisis should the strike by the LPG hold.

The Vice Chairman for the LPG Marketing Companies Association at a press conference said, “whatever action that the retailers take directly affects our operations. We cannot operate without retailers. We take the products from the Bulk Distribution Companies and then give it to the retailers for onward retail to the final consumer. If one retailing group has concerns and is bent on taking certain actions and they have started giving ultimatums, if their concerns are not addressed, there is no way we the marketing companies can get the product to the final consumer so we think their concerns should be addressed.”