Phase II of PPMS to reduce fuel tax revenue loss, subsidy abuse-NPA

The National Petroleum Authority says phase II of the Petroleum Product Marking Scheme (PPMS) will see significant reduction in the fuel tax revenue loss and subsidy abuse. At the same time, there will be reduction in the retail outlet failure rate, which is indicative of the decrease in the malpractices in the distribution and sale of petroleum products as well as Improved quality of products at the retail outlets for consumers of petroleum products. Speaking at the launch of the Phase II of the PPMS, Chief Executive Officer, Hassan Tampuli said the launch has become necessary due to the importance his outfit places on engaging players in the downstream industry on any developments, big or small as far as the exercise of the regulatory mandate is concerned.

“The establishment of the Petroleum Products Marking Scheme (PPMS) has always been a well-thought-out initiative of the NPA and is ultimately aimed at ensuring consumer satisfaction with regards to the quality of petroleum products supplied to the market.” “As indicated in their 2017 report, the fuel marking programme, introduced in 2012, empowered the NPA to identify and legally deal with participants in the illicit trade of the retail chain of the petroleum downstream sector. All these were as a result of sustained Government policy to deal with the malpractices in the petroleum downstream sector. This will recoup Government revenue which is being lost through diversion of subsided petroleum products, Mr. Tampuli said.

Phase II of the PPMS is anchored on technological advancements in the markers as well as the detection proprietary equipment. The marker has been uniquely designed for the Ghanaian market with a chemical composition to aid in immediate equipment quantification and detection to enable the NPA make swift decisions on whether retail outlets have dumped or adulterated the petroleum products being offered for sale at retail outlets across the country. The marker concentration is also stored internally in the field device and the data transmitted in real time to a cloud system. The reason for this approach according to the NPA is to ensure that no individual including an NPA field officer can alter the test results.