National Petroleum Authority (NPA) has cited another company, Glencore, for operating without a license in Ghana\u2019s petroleum downstream industry.<\/p>\n
The NPA, in a June 2017 letter sighted\u00a0by Citi News, threatened legal action if Glencore does not cease its operations.<\/p>\n
[contextly_sidebar id=”rfqhroBd473yT3QoxlhD67iPy4L8U4v6″]Glencore\u00a0is said to have been importing petroleum products for storage and sale to various customers within Ghana, thus\u00a0flouting\u00a0section 11 of the National Petroleum Authority Act, ACT 691, 2005.<\/p>\n
\u201cWe wish to advise that the importation of petroleum products into the country is carried out only by companies duly licensed by the Authorities (i.e. Bulk Distribution Companies and Oil Trading Companies),\u201d the letter from the NPA stated.<\/p>\n
\u201cOn the basis of the above, you are hereby advised to suspend any such activities with immediate effect, failing which the Authority will have no choice but to take necessary legal action against your company.\u201d<\/p>\n
Possible sanctions<\/strong><\/p>\n This news comes after the controversy over the involvement of two unregistered companies, Zup Oil and Movenpinaa Energy, in the sale of contaminated oil.<\/p>\n Those companies were found to be operating without a license\u00a0and the NPA indicated that they would face sanctions.<\/p>\n The NPA, also said it would take legal action against the firms and conduct further investigation to determine the actual quantity and quality of contaminated oil received.<\/p>\n \u201cThere is a standard sanction that we impose on such petroleum service providers who do not have\u00a0licenses\u00a0to operate. What we do is to enforce these sanctions which are known to everybody in the industry. For every trivial activity that they engage in, they pay GHc10,500,\u201d the NPA acting Chief Executive Officer previously explained.<\/p>\n Zup Oil and Movenpinaa Energy will, however, be given the opportunity to regularise their operations.<\/p>\n