The price of petrol was increased by about 20 per cent.
The Ghanaian government on Monday said it embarked on recent increase in the price of kerosene and petrol because the ordinary citizens did not actually benefit from subsidies on the two products.
This is contained in an official statement from the presidency obtained by the News Agency of Nigeria.
The statement quoted Ghana’s Deputy Energy and Petroleum Minister, John Jinapor, as saying this in remarks when he addressed newsmen in Accra.
The minister said that government’s subsidy on the two products did not benefit the targeted masses but was being exploited by a few privileged persons.
The Ghanaian government recently raised the pump price of petrol from 66.82GH¢ per litre to 80.14 GH¢ representing about 19.94 per cent increment.
Kerosene, which was being sold at 115.03 GH¢ per litre, however was increased by about 8.41 per cent to 124.79 GH¢.
The statement quoted Mr. Jinapor as saying that 80 per cent of subsidised kerosene fell into the hands of commercial users instead of the targeted domestic users.
“Our research showed only 20 per cent of the subsidised kerosene got to the final targeted consumers.
“Apart from this, while government subsidised a gallon of kerosene at GH¢ 4, it is being sold at GH¢ 16 in the rural areas,’’ the statement quoted the minister as saying.
The minister further stated that 80 per cent of the subsidised fuel returned to the market after adulteration.
“This has contributed to various mechanical problems which some machine and vehicles owners are facing,’’ the minister said.
He said that the government had decided to invest in solar lanterns as a palliative for the targeted poor instead of subsidy.
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