NPA: Govt Must Include Petroleum Subsidy In Budget

Public Relations Officer of the National Petroleum Authority(NPA),Yaro Kasambata, has proposed an inclusion of petroleum subsidies in government�s annual budget, as well as coming up with stringent policies to curb the usage of Liquefied Petroleum Gas(LPG) by commercial drivers. Yaro Kasambata was speaking on the premise that the NPA has given government up to December 2013 to remove the current subsidies on LPG, Petrol and diesel. The authority says government is expected to pay GHC 2.4 billion as fuel subsidies, adding if the money is paid petroleum prices will not change. According to the NPA PRO, the authority is not thinking of scraping the subsidies in its entirety. However, if government is able to pay the arrears as well as promise to be swift with its payment, �they have no problem�. He elucidated that because government does not include the subsidies in its fiscal policy, it becomes difficult for them to pay the money in time. However if government is able to include the subsidies of petroleum products in its budget, it will be swift in paying. He indicated the NPA is not necessarily giving government an ultimatum, �however if they will promise to pay the subsidies in time, they will not have any problem� Speaking in an interview on Peace FM's �kokrokoo� programme Tuesday, Yaro Kasambata said: �It is not really an ultimatum, government�s intentions for subsidy, we believe is good but we have realised that it is always a problem when it comes to payment and the industry is struggling under that arrangement. The intention is good but you realise that the delay in the payment of the subsidy which is always a problem. And so we have advised government; if they have that ability to release the money in time so that we can pay the petroleum providers, we have no problem. "Government has never budgeted for petrol and its subsidy; the money comes but it delays...because it has not been budgeted for. If it is within the means of the state and the state can do it, we have no problem; we are not against subsidies...� he said. Yaro Kasambata also advised government to introduce policies which will stop commercial drivers from using LPG. According to him, if government introduces the policies and are able to communicate it well to the drivers, they will understand. �The chunk of LPG in the country is used by commercial drivers; why should it be? Government should make a policy that says you cannot use LPG for commercial driving until such a time when we are able. The time comes when we have to get to the core of the issue and get people to understand. Commercial drivers will reason because it is a national thing; the commercial drivers also have room for reason and so they will reason. It is a policy issue and it is important to communicate it properly,� he explained.