Ghana Burns US$46.7m in Fuel Demurrage as Single Port Facility Strains Under Import Surge

Ghana has incurred an estimated US$46.73 million in demurrage charges on petroleum imports in 2026 so far—a cost that translates into an additional 47 to 60 pesewas on every litre of fuel sold to…

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Ghana Burns US$46.7m in Fuel Demurrage as Single Port Facility Strains Under Import Surge

Ghana has incurred an estimated US$46.73 million in demurrage charges on petroleum imports in 2026 so far—a cost that translates into an additional 47 to 60 pesewas on every litre of fuel sold to consumers, according to the Centre for Environmental Management and Sustainable Energy.

In a statement issued on Thursday, November 5, CEMSE estimated that demurrage charges account for between 2.63 per cent and 3.35 per cent of retail pump prices, adding a persistent and avoidable burden to the cost of petroleum products in the domestic market.

The policy think tank attributed the charges to delays in discharging imported petroleum products, driven largely by Ghana's reliance on a single major discharge facility at Tema Port. "The situation has become increasingly costly as petroleum imports and the number of companies operating in the downstream sector have expanded without a corresponding increase in alternative discharge infrastructure," CEMSE stated.

A Structural Mismatch

The scale of the problem is captured in the growth figures. Ghana's petroleum product inflows rose by approximately 73 per cent, from 3.53 million metric tonnes in 2015 to 6.09 million metric tonnes in 2025. Over the same period, the number of Bulk Oil Distribution and Export Companies increased from 37 to 53. Yet the country has not developed alternative mooring facilities at a comparable pace, leaving fuel import operations exposed to congestion, longer vessel waiting times and higher demurrage charges.

The latest estimate follows an estimated US35 million. The trend line is unmistakable: costs are rising, and the infrastructure gap is widening.

The Exclusivity Question

CEMSE also raised pointed questions about a reported 15-year exclusivity arrangement granted to a South African entity in 2015, arguing that the deal may have discouraged investment in competing petroleum discharge facilities. The Centre urged the government to review the arrangement, remove regulatory barriers and establish a clear framework to attract private investment into alternative mooring infrastructure.

Expanding discharge capacity, CEMSE argued, would reduce vessel congestion, improve the efficiency of petroleum imports and help eliminate avoidable costs across the downstream petroleum supply chain. The concern for consumers is direct: operational inefficiencies in the import chain feed into pump prices, compounding the cost of transport and business operations across the economy.

Background: A Recurring Drain

Demurrage—the charges paid by charterers when vessels exceed the agreed time for loading or discharging—has become a recurring feature of Ghana's petroleum import landscape. The National Petroleum Authority has previously acknowledged that the country's single-point mooring facility at Tema is Ghana's only major offshore discharge terminal for petroleum products, making it a critical chokepoint for imports.

In 2024, the Chamber of Petroleum Consumers Ghana urged the government to establish an alternative mooring facility, warning that the existing terminal had outlived its usefulness and that its inefficiencies were a direct drain on fuel prices. The Chamber noted that every vessel delayed at the terminal incurred costs that were ultimately passed to consumers.

The issue has also drawn parliamentary attention. In November 2024, the Public Accounts Committee of Parliament directed the National Petroleum Authority to provide detailed information on the operations of the single-point mooring facility and the new cylinder filing plant at Tema, amid concerns over increasing demurrage costs. Former NPA Chief Executive Dr Mustapha Abdul-Hamid disclosed at the time that the new plant was being completed to address operational challenges.

For CEMSE, the solution lies in regulatory reform and infrastructure investment. The Centre has consistently advocated for a competitive discharge environment, arguing that exclusivity arrangements and regulatory barriers have left Ghana's downstream petroleum sector exposed to costs that are both avoidable and consequential. Whether the government acts on that advocacy—or whether demurrage continues to accumulate as a silent surcharge on every litre of fuel—will be a test of its commitment to efficiency in a sector already burdened by fiscal pressures.

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