Government’s 17 percent subsidy on LPG will be scrapped for consumers to bear the full cost of the commodity by the end of 2013.
This would be done ‘slowly’ so that consumers would adjust to the new procedure, according to Isaac Tagoe, Technical Director, National Petroleum Authority (NPA).
Mr. Tagoe was speaking at the Appreciation Day of the Union Oil Ghana Limited held at the Royal Lamerta Hotel in Kumasi.
He debunked accusations that petrol users were paying full cost for the product following the recent increases in fuel prices.
The NPA official said government currently was paying 8 percent subsidy on petrol and charged the public not to believe the rumour.
He explained that the subsidy had become unsustainable.
Mr. Tagoe said the recent increases in fuel prices do not mean the NPA and Tema Oil Refinery (TOR) are inefficient.
Management of Union Oil Ghana Limited used the occasion to present awards to its hard working members across its 38 branches in Ghana.
Charles Obeng Mensah, CEO, Union Oil Ghana Limited, cited lack of financial support from banks as some of the challenges of young companies in Ghana.
He appealed to banks in the country to give off their best to young companies so that they could be transformed in might organizations.
Union Oil Ghana limited was formed four years ago and Mr. Mensah attributed the success of the firm to God’s protection hard work, dedication and discipline.