Marketers Protest Gas Cylinder Re-Circulation Module

Four associations have indicated that the Cylinder Re-circulation Module (CRM) monopoly being introduced by the National Petroleum Authority (NPA) is likely to hurt the country's economy.

According to LGP Marketing Companies Association of Ghana, Ghana LPG Operators Association (GLiPGOA), Ghana LPG Tanker Owners Association and the Ghana LPG Table Drivers Union, the move will lead to the loss of many jobs to worsen the unacceptable unemployment rate.

The NPA has been working to introduce CRM, which according its Acting Chief Executive Hassan Tampuli, would prevent gas explosions in the country.

As a result, the authority has said that LPG outlets nationwide will no longer be allowed to refill cylinders at their plants.

He added that all gas cylinders will be filled by cylinder bottling plants for onward delivery to retail outlets.

A news release issued in Accra by the associations claimed about 7,000 Ghanaians working in the LPG chain would have to be laid off if the CRM is finally introduced.

“The policy itself is discriminatory. The CRM is not new in Ghana. In fact, Mobil Oil operated it in the late 80s when LPG was first introduced in Ghana.”

They claimed the CRM was found to be urban centered and inefficient, among others, and thus not overwhelmingly expanding the LPG industry as envisaged by the government.

“So why bring the system back when Ghanaian LPG Plants have single-handedly, and at their own expense too, developed the market to reach the present 30 percent stage and still aiming to reach the 50 percent target set by the Government by 2020.”

“In its present form, it is a complete violation of the Petroleum Act, which advocates for local content and participation. Worse of all and strangely, it is also being pushed into the market without the support of any government policy.”

“Our private plants allow customers to buy any amount of gas that they can afford. Even as low as GH¢10 from our dispensers, which operates like the Petrol/Diesel ones at fuel stations,” they claimed, adding, “Our system ensures that even the poorest is not left out, thereby expanding the use of LPG in the country. The same cannot be said of the CRM. This module comes out with pre-determined prices, making LPG not affordable to the poor, let alone the poorest.”

They said they have instituted measures to check fire outbreaks, but their efforts to bring sanity into the industry have not been appreciated.

“To forestall fire outbreaks in future, the Association has, among others, put a ban on the filling of LPG tanks at stations via the use of truck engines by September 30, 2017.

By William Yaw Owusu