NPA probes GHS2.3m fuel diversion scandal

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NPA probes GHS2.3m fuel diversion scandal

The National Petroleum Authority (NPA) has announced a full-scale investigation into the latest fuel diversion scandal that has rocked the downstream

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The National Petroleum Authority (NPA) has announced a full-scale investigation into the latest fuel diversion scandal that has rocked the downstream petroleum sector, following the interception of 10 trucks loaded with over 540,000 litres of diesel by operatives of the Ghana Revenue Authority (GRA) and the National Security Secretariat.

The deal, valued at approximately GH₵2.3 million in evaded taxes, has once again exposed systemic weaknesses in Ghana’s petroleum distribution chain and triggered fresh questions about regulatory oversight.

NPA Vows Swift Sanctions

In response to the revelations, the Chief Executive Officer of the NPA, Godwin Edudzi Kudzo Tamaklo, said the Authority was taking the allegations “very seriously” and had initiated an internal probe.

“The Authority takes these claims very seriously, and we will investigate this. Once wrongdoings are established against the Oil Marketing Companies (OMCs) involved, the appropriate sanctions will be applied strictly against them, including deactivation from the NPA ERDMS system and suspension of licenses for specific periods. The sanctions will be swift,” Tamaklo assured.

The latest operation by the GRA and National Security was the result of weeks of intelligence-gathering. Investigators tracked 10 Bulk Road Vehicles (BRVs) that had disengaged their tracking devices shortly after loading diesel at a depot.

Instead of delivering the product to its designated northern destinations, the trucks rerouted the fuel to Accra and its surrounding areas under the cover of darkness.

According to the GRA’s findings, the diversion was a deliberate scheme to exploit loopholes in the Unified Petroleum Price Fund (UPPF) — a mechanism designed to subsidize transportation costs for fuel delivered to distant parts of the country, such as the Upper East and Upper West regions.

Abnormal Fuel Consumption Data Raises Red Flags

The bust follows weeks of warnings from the Chamber of Oil Marketing Companies (OMCs), which had sounded the alarm over abnormal fuel consumption patterns in the northern regions.

Data released by the Chamber showed that the Upper East and Upper West regions had reportedly consumed more fuel in the past six months than all other regions combined — a statistical anomaly that industry experts described as “impossible under normal circumstances.”

The Chamber argued that such figures could only result from massive diversions and data manipulation within the petroleum supply chain, potentially aided by regulatory insiders.

Ultimatum to the NPA

In a press conference last week, the Chamber of OMCs issued a two-week ultimatum to the NPA, urging its Chief Executive to launch a swift and transparent investigation.

They stressed that with all BRVs fitted with GPS trackers under the NPA’s Electronic Road and Depot Monitoring System (ERDMS), the Authority could easily trace the movements of the trucks involved.

A Historical Pattern of Weak Enforcement

Fuel diversion is not a new phenomenon in the petroleum sector. Under former NPA boss Alhassan Tampuli, the Authority introduced a monitoring unit of young field officers tasked with tracking petroleum movements from depots to retail destinations.

That initiative significantly reduced fuel diversions. 

However, its discontinuation in recent years has drawn criticism from industry stakeholders, who argue that the absence of on-ground monitoring created room for regulatory abuse and large-scale fraud.

Several insiders within the petroleum sector claim that some OMCs and transporters have taken advantage of these lapses, often in collaboration with corrupt officials, to divert fuel for illegal resale in Accra and other major urban centres.

Pressure Mounts on NPA Leadership

The revelation that it took the GRA and National Security — rather than the NPA — to uncover the latest diversion has raised serious questions about the Authority’s efficiency.

Critics argue that the NPA must not only name and sanction the companies involved but also address the structural and technological weaknesses that continue to undermine its regulatory authority.

As the investigation unfolds, public confidence in the NPA’s regulatory oversight hangs in the balance — with many Ghanaians calling for reforms that would finally seal the leaks in the petroleum distribution system and restore integrity to one of the nation’s most lucrative sectors.

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