Ghana could significantly reduce its dependence on imported petroleum products if its two major refineries operate at full capacity, according to the National Petroleum Authority (NPA). Officials say such a shift would bring meaningful economic relief at a time when the country continues to grapple with foreign exchange pressures, rising logistics costs, and constrained import infrastructure.
The assessment reflects a broader push by regulators to reposition domestic refining as a strategic pillar of Ghana’s energy security rather than a peripheral component of fuel supply.
Regulator Steps In as Production Rises
Speaking in an interview sighted by Accra Street Journal, the NPA’s Director of Economic Regulation and Planning, Abass Ibrahim Tasunti, disclosed that the authority has intensified oversight following increased production activity at the Sentuo Oil Refinery, currently the largest operational refinery in the country.
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The visit, he explained, was part of the NPA’s regulatory mandate to ensure that domestic refining operations are efficient, safe, and aligned with national supply objectives.
“If domestic production in the country is going well, it helps to ensure security of supply,” Tasunti said. “So we were there as a regulator to monitor the major refinery business right now.”
Tema Oil Refinery’s Return Matters
Beyond Sentuo, the NPA has also inspected the Tema Oil Refinery (TOR), which is preparing to resume production after years of intermittent operations. Regulators say TOR’s return would mark a critical turning point for Ghana’s downstream petroleum sector.
According to Tasunti, once both Sentuo and TOR are producing at full capacity, they could jointly supply about 50 percent of Ghana’s fuel demand—a level that would fundamentally alter the country’s import profile.
“We also visited TOR as well. They are planning to come back to start production. So we are monitoring,” he noted.
Why Domestic Refining Now Matters More Than Ever
Ghana’s fuel supply is currently dominated by imports, a model that places heavy strain on port infrastructure, storage facilities, and distribution networks. As volumes rise, so do costs, congestion risks, and exposure to global supply disruptions.
Increasing domestic refining capacity would help relieve pressure across the import chain, making fuel availability more predictable and reducing logistical bottlenecks.
Foreign Exchange and Price Stability
Beyond infrastructure, the economic implications are substantial. Fuel imports account for a significant share of foreign exchange demand. Cutting imports by up to half would ease pressure on the cedi, reduce exposure to global oil price volatility, and help stabilise domestic fuel pricing.
Fewer dollars spent abroad would also mean more value retained within the local economy—supporting fiscal stability at a time when policymakers are focused on rebuilding macroeconomic credibility.
Oversight, Not Celebration
Despite the optimism, the NPA has been careful to frame its role as supervisory rather than celebratory. Tasunti stressed that sustained output—not short-term production spikes—will determine whether domestic refining can deliver long-term benefits.
The authority, he said, will continue to monitor operational efficiency, safety standards, and consistency across both facilities.
“When these two refineries together are producing at full capacity, they can meet about 50% of the country’s demand,” he explained. “So we can minimise imports because already we have a challenge with our import infrastructure.”
A Structural Shift in the Making
If Sentuo maintains its production momentum and TOR successfully returns to sustained operations, Ghana’s energy landscape could undergo a meaningful shift—from heavy reliance on imports toward a more balanced model anchored in domestic supply.
Such a transition would not eliminate imports altogether, but it would reduce vulnerability, strengthen energy security, and offer policymakers greater flexibility in managing external shocks.
For an economy seeking stability, resilience, and long-term efficiency, domestic refining may no longer be optional—it may be essential.
Source: Accra Street Journal
Last Updated on January 28, 2026 by Samuel Kwame Boadu
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Samuel Kwame Boadu is a Ghanaian media entrepreneur and storyteller with a passion for amplifying urban voices and uncovering everyday truths. He is the Editor-in-Chief and Founder of Accra Street Journal, a dynamic digital platform dedicated to capturing the pulse of Ghana’s capital—its people, culture, challenges, business, sports and innovations.
