LPG Marketers Association: Russia-Ukraine War, Cedi Depreciation Causing Up In LPG prices

Liquefied Petroleum Gas (LPG) Marketers Association has attributed the reportedly 5% increase in LPG prices which has taken effect in some gas stations across Ghana to the cedi depreciation to the dollar and the growing war between Russia and Ukraine.

In a media interview monitored by opemsuo.com, the Vice President of the association, Gabriel Kumi indicated that there is no other option than to pass on the charges to the final consumer.

“Taxes haven’t gone up neither has our margin but two main factors are. The first is what is happening between Ukraine and Russia that has shot up crude oil price to about 114/115 dollars per barrel and the second factor is that our cedi is unfortunately not doing too well these days. It’s depreciating too fast because we need to change cedis into dollars to be able to import these products.”

He noted that the price increase in LPG will encourage consumers to seek other fuel alternatives since the commodity is an elastic good.

The LPG Marketers Association is of the view that the government must act hastily and consider zeroing taxes on the LPG to save the country its fast depleting forestry.

“Government should consider removing all taxes on LPG because we believe LPG must be made tax-free”.

Source: opemsuo.com/Hajara Fuseini