Technical Adviser at the Ministry of Energy and Green Transition, Dr Yusif Sulemana, says expanding Ghana’s domestic petroleum refining capacity could reduce demand for US dollars and help stabilise fuel prices over time.
He explained that processing more petroleum products locally could reduce reliance on imported finished fuels, ease pressure on foreign exchange demand and limit the impact of currency fluctuations on fuel prices.
Dr Sulemana made the remarks while speaking to the media following the signing of a US$28 billion agreement between the Petroleum Hub Development Corporation (PHDC) and an investment consortium led by Global Sphere.
The proposed investment is expected to support efforts to expand Ghana’s refining capacity and strengthen its position in the regional energy market.
According to Dr Sulemana, importing refined petroleum products contributes to demand for US dollars because importers require foreign currency to pay for fuel supplies. He said increasing local refining could reduce the need for such imports and ease the pressure.
He added that, over time, greater domestic refining capacity could help improve fuel price stability and reduce Ghana’s exposure to external market pressures.
The proposed expansion forms part of broader efforts to strengthen the energy sector, reduce dependence on imported refined products and maximise the economic benefits of Ghana’s petroleum resources.
Story by Ama Frimpomaa