Business News of Thursday, 1 February 2018

Source: 3news.com

High risk LPG stations to be converted into cylinder distribution centres

CEO of National Petroleum Authority, Alhassan Tampuli CEO of National Petroleum Authority, Alhassan Tampuli

The National Petroleum Authority (NPA) is to convert LPG stations considered to be high risk into cylinder distribution centers.

The Authority is therefore going to categorize LPG stations into high and low risk when it rolls out the second phase of the LPG refilling plant safety risk assessment in the wake of the incessant gas explosions that claimed many lives.

Currently, a total of 657 stations have been inspected using the criteria developed for the first phase of which 59 remain closed down due to non-compliance, CEO of NPA Alhassan Tampuli remarked.

He was speaking at the NPA downstream colloquium series under the theme “Ghana’s Petroleum Downstream, Then, Now and the Future” in Accra on Wednesday.

“The next phase will be the categorization of the stations into high and low risk. The exercise will take into consideration the location and human density around the stations, among others.

“This phase will lead to decommissioning of high risk stations and their subsequent conversion into cylinder distribution centers under the new LPG policy. Low risk stations will be considered autogas refilling only. ”

He also emphasised that the Cylinder Recirculation model of LPG distribution will be implemented fully.

Mr. Tampuli said, “The relevant licenses will be issued and safety protocols will be keenly observed to ensure the safety of the good people of Ghana, while increasing access to LPG for domestic, commercial and industrial use from the current 25% level to 50%”.

The NPA Act, he noted, will be amended to give it enough legal backing to deal with the new wave of industry issues.

Energy Minister Boakye Agyarko also revealed that Ghana’s petroleum downstream will soon become a hub in the West African sub-region.

The NPA Act (Act 691) which does not take into consideration the transformation of the sector into a hub would, therefore, be amended, he announced.

“Refined petroleum products hub shall involve the introduction of new players in the import and export sub-sectors, infrastructure development and expansion, health, safety and security issues,” Mr. Boakye Agyarko stated.