True cause of hike in fuel price

In its lead story, the Free Press says its investigations have revealed that the real cause of the recently announced 15% hike in the price of petroleum products, is due to the financial indiscipline in the operations of the Tema Oil Refinery (TOR).

According to the paper, the company?s accounts are in the red and consequently, has not been able to meet its financial obligations to creditors abroad. The accumulated debt of the company for imported crude oil is said to be as high as $200 billion (over 800 billion cedis) and TOR has resorted to banker?s draft for its imports, the paper adds. The Free Press says in spite of its mounting debt, the company allegedly pays proceeds from its products into an unknown account not controlled by the management.

The company, the paper says, uses its financial weakness as an excuse to deny workers of salary adjustment and other fringe benefits.