The Association of Oil Marketing Companies in the Republic of Ghana is urging the Government of Ghana to repeal all laws, regulations and rules which allow Oil Marketing Companies to engage in third party supplies companies.

This call follows recent concerns expressed by Vice President of Ghana, Dr Mahamudu Bawumia, that some OMCs in good standing with regulators supply fuel to heavily indebted OMCs that are determined to evade payment of statutory levies and margins.

In a statement copied to energynewsafrica.com, the Association of Oil Marketing Companies described the development as worrying and called for immediate action to deal with the OMCs engaging in the act.

“This inappropriate behaviour by few OMCs have become an issue of great concern to other marketers who are dutifully complying to the ethics and rules of the industry, diminishing their market share and sales volume.

“These disloyal actions further distort industry figures, affect profitability of the already struggling OMC business and negatively affect unfair price wars in the industry,’’ the statement said.

The AOMC said it would not support any form of illegality even for its own members and would like to state unreservedly that, it has never supported and shall not support or back any OMC engaging in any form of third-party supplies.

“We would like to, however, encourage OMCs who are indebted to the NPA, BOST or GRA to approach these institutions to discuss a payment plan for resumption of their business operations and the AOMC would lend its support in this regard.

“It is our fervent hope that all OMCs & LPGMCs shall abide by industry ethics and standards in their fuel marketing operations to ensure a level playing field which contributes to the development of our country Ghana,” the statement said.

Source: Energynewsafrica.com