The Minister of State at the Ministry of Energy, Hon Herbert Krapa, has stated that the African Continental Free Trade Area (AfCFTA) presents unprecedented opportunities for Ghana’s petroleum downstream industry.

He made this statement when he delivered the keynote address at this year’s Ghana International Petroleum Conference (GhIPCon) at the Marriot International Hotel in Accra yesterday. This year’s event was under the theme “The Petroleum Industry: Building a Future for Growth, Efficiency, and sustainability”

“By removing trade barriers and fostering regional integration, AfCFTA can enhance market access, stimulate investment, and drive economic growth. We must capitalize on these opportunities to strengthen our industry and promote sustainable development across the continent”, Hon Krapa observed.

The Minister of State recalled that since the last GhIPCon held in 2022, the industry has made significant progress towards ensuring that the sector is efficient, viable and sustainable. 

He highlighted the introduction and implementation of the Gold for Oil (G4O) Programme, noting that thisinitiative has reduced the demand on forex reserves required for the importation of petroleum products. 

The G4O Programme has further increased local product supply volumes and reduced premiums from $180-200/MT to $70/MT or less, resulting in a relative reduction in the prices of petroleum products.

He also announced that the Board of the Petroleum Hub Development Corporation has been sworn in, and a $12 billion agreement with TCP-UIC Consortium has been signed for the development of the first phase of the Petroleum Hub project in the Jomoro Municipal, in the Western Region.

This phase includes constructing a 300,000 bpsd refinery, a petrochemical plant, storage tanks, jetties and port infrastructure, ancillary infrastructure and social amenities.

On this year’s GhIPCon theme, the Minister of State opined that it reflects “our collective aspiration to address the challenges of our industry while fostering a future of prosperity and resilience”. 

The discussion topics, he observed, have been carefully selected to elicit the right conversations to advance the industry. Among these, he disclosed, were; ensuring sustainable oil supply, strategies and challenges, impact of government regulations on petroleum downstream business and issues on local content participation.

GhIPCon is organized by the National Petroleum Authority in collaboration with the Ghana Chamber of Bulk Oil Distributors (CBOD), the Association of Oil Marketing Companies and under the auspices of the Ministry of Energy, bringing together regional and international petroleum downstream experts, leaders, and innovators. The aim of the conference is to bring to the fore the industry's perspective and guidance on issues of industry best practice, governmental and regulatory policy, operational strategies, innovation, financing, and investments.

Sompaonline.com/Nana Yaw Boamah