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Business News of Thursday, 10 August 2017

Source: 3news.com

Government withdraws controversial draft LP Gas policy

Implementation of the policy will mean gas filling stations will no longer be allowed to refill gas Implementation of the policy will mean gas filling stations will no longer be allowed to refill gas

The government has withdrawn the controversial draft Liquefied Petroleum Gas [LPG] policy seeking to among others, make the distribution of LPG to homes through pipelines.

It followed outcry by LPG marketing companies and tanker drivers in the country, who have expressed fears such a policy would cause job losses that would lead to economic chaos.

Implementation of the policy will mean gas filling stations will no longer be allowed to refill gas cylinders at their stations.

According to the National Petroleum Authority, the policy would also increase rural penetration of gas and help minimise the recent gas explosions at filling stations across the country. But the Tanker Drivers’ Union and the LPG Marketing Companies Association of Ghana has kicked against such a policy.

The latter wrote to the Ministry of Energy and Vice President Mahamudu Bawumia to explain how it would not make economical sense to implement such a policy.

The Ministry of Energy on Tuesday announced it has recalled the draft policy to allow for “further consultations with relevant stakeholders”, especially the LPG tanker drivers and the marketing companies.

A letter to the Ministry announcing the decision said the ministerial subcommittee, which was formed to review the policy, was faced with some challenges in the completion of its work.