Ghana's fuel security gets a boost as Sentuo refinery pledges steady output through 2026

Ghana's fuel supply landscape is set to stabilise with the National Petroleum Authority confirming that Sentuo Oil Refinery will deliver consistent petroleum production through December 2026. NPA Chief Executive Godwin Kudzo Tameklo made the pledge during a recent interview, signalling renewed confidence in domestic refining capacity at a time when energy security remains a pressing concern for both consumers and businesses across the country.

The reassurance comes as policymakers and industry stakeholders intensify focus on reducing Ghana's vulnerability to global petroleum price shocks and supply interruptions. With fuel costs continuing to impact transportation, manufacturing and household budgets, the role of local refineries in stabilising the market has gained heightened political and economic attention.

Domestic refineries could meet up to 30% of demand

According to the Chamber of Bulk Oil Distributors (CBOD), Ghana's two operational refineries—Sentuo and the Tema Oil Refinery—could potentially supply between 25% and 30% of the nation's annual fuel consumption if both operate at full capacity. Dr Patrick Kwaku Ofori, CBOD Chief Executive, emphasised that having these facilities functioning domestically significantly reduces Ghana's exposure to international supply shocks and the foreign exchange pressures of fuel imports.

Currently, Ghana imports the majority of its refined petroleum products despite being an oil-producing nation, a situation that leaves the economy vulnerable to currency fluctuations and geopolitical disruptions in global energy markets. Increasing the contribution of local refineries would therefore strengthen national energy resilience.

Dr Ofori has called for further investment in refining infrastructure and operational efficiency to expand the domestic share of fuel supply, reducing long-term dependency on imports.

Why it matters for Ghana

For Ghanaian consumers and businesses, stable fuel supply carries direct consequences. Transport operators, manufacturers, hospitals, and households all depend on predictable petroleum availability. Supply disruptions or price volatility can cascade through the economy, affecting productivity and living costs.

However, Dr Ofori cautioned against expecting immediate relief at the pump. Because local refineries purchase crude oil at internationally benchmarked prices, increased domestic refining does not automatically mean cheaper fuel for consumers. Global crude price movements, refining margins, and distribution costs will continue to influence what Ghanaians pay for petrol and diesel.

The government's current fuel subsidy—set at GH¢2 per litre—has drawn criticism for being inefficient and inequitable. Dr Ofori has argued that rather than subsidies, Ghana needs sustained investment in public transport infrastructure and a coherent long-term energy strategy that addresses both supply security and affordability.

Additionally, even with domestic refining capacity improvements, Ghana remains exposed to global petroleum supply disruptions. International crises affecting shipping lanes, OPEC production decisions, or refinery outages elsewhere can still impact local fuel availability and pricing.

The path forward

Sentuo's commitment to steady production through 2026 provides a foundation for gradual energy security improvements. However, sustaining and expanding this contribution will require continued investment, operational reliability, and strategic planning. For Ghana to meaningfully reduce fuel import dependence, both refineries must operate efficiently while complementary policies—including transport investment and economic diversification—address the broader energy challenges facing the nation.