Ghana cuts fuel supply to two Sahel states as local demand pushes prices higher

• Ghana has cut fuel exports to Burkina Faso and Mali to prioritise rising domestic demand.

• BOST says higher demand is putting pressure on fuel supplies and prices.

• The NPA has raised minimum prices for petrol, diesel and LPG, while BOST plans a new LPG terminal in Tema.

Ghana’s state-owned fuel distributor, BOST Energies, has cut diesel and petrol exports to the two neighbouring countries since August, with the company prioritising the local market, Managing Director Afetsi Awoonor told Reuters.

Also Read: NPA raises fuel price floors for August first pricing window: See latest petrol, diesel and LPG rates

BOST supplied only half of the 80,000 metric tonnes of fuel requested by Burkina Faso for July and August, Awoonor said. During the same period, the company exported 10,000 tonnes of fuel to Mali, despite the country requesting an additional 40,000 tonnes for August and September.

The development highlights the pressure facing Burkina Faso, Mali and Niger, which rely heavily on fuel imports from coastal countries including Ghana and Côte d’Ivoire.

Awoonor said fuel demand in Ghana continues to increase as economic activity expands. BOST currently has about a 30% share of Ghana’s fuel market, with diesel accounting for around two-thirds of its supplies.

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“Supply is available, but it's at a high cost,” Awoonor said, adding that the sharp increase in demand had strained supplies and made it more difficult to keep domestic fuel prices stable.

Ghana’s fuel prices have also increased in the second pricing window of September, amid changing conditions in the global petroleum market. The National Petroleum Authority (NPA) raised its minimum price floors for petrol, diesel and liquefied petroleum gas (LPG) from September 16.

The NPA’s new floor price for petrol is GH¢16 per litre, up from GH¢14.53, while the minimum price for diesel increased from GH¢15.60 to GH¢16.77 per litre.

Also Read: Petrol, diesel and LPG prices to rise as NPA announces new price floors – See latest prices

The LPG price floor also rose from GH¢10.85 to GH¢10.97 per kilogramme.

The NPA sets minimum price benchmarks for deregulated petroleum products at the beginning of each pricing window, while oil marketing companies can sell at different prices depending on their operating costs and commercial decisions.

Ghana’s fuel prices had eased earlier in the year following a stronger cedi and government interventions, but renewed pressure on global energy supplies has contributed to higher costs.

Also Read: NPA raises fuel price floor; here’s how much you’ll pay for petrol and diesel from April 1

Awoonor also disclosed that BOST plans to build an LPG import terminal in Tema by the fourth quarter of 2027. The company also intends to establish an LPG storage facility in Kumasi and eventually develop terminals at six locations across Ghana.

The planned infrastructure is expected to support LPG imports and improve the distribution of the cooking fuel as Ghana seeks to strengthen domestic energy supply.