COMAC denies targeting Star Oil

The Chief Executive Officer of the Chamber of Oil Marketing Companies (COMAC), Dr Riverson Oppong, has dismissed suggestions that the Chamber is singling out Star Oil Limited following the company’s decision to suspend its membership indefinitely.

Star Oil earlier announced its withdrawal from COMAC, citing fundamental disagreements over the Chamber’s handling of the ongoing debate surrounding the petroleum price floor.

The company said it had joined COMAC on the understanding that the Chamber would function as a balanced platform that fairly represents the collective interests of its members while accommodating divergent but constructive policy positions.

However, Star Oil noted that recent developments had raised doubts about whether that principle of inclusiveness and balance was still being upheld within the Chamber.

Responding to the concerns in an interview on Channel One TV on Wednesday, January 21, Dr Oppong said claims that COMAC is portraying Star Oil in a negative light are misplaced. He stressed that the Chamber’s position on the price floor is not intended to accuse or condemn any individual oil marketing company.

“The perception from Star Oil that the Chamber is advocating that Star Oil is doing something bad is not the case. What we are saying is that certain actions could encourage practices by other OMCs that may be harmful to the industry, which was the original reason for introducing the price floor,” he explained.

Dr Oppong noted that the price floor was introduced through collaboration between industry players and the National Petroleum Authority (NPA) to address challenges within the downstream petroleum sector.

He added that COMAC is engaging the NPA to assess whether the policy has achieved its objectives, as well as to examine issues of compliance and emerging challenges.

He further disclosed that the Chamber is preparing a public statement to clarify its position and update stakeholders on the outcome of its engagements, reaffirming COMAC’s commitment to dialogue, stakeholder consultation and policies that promote stability in the sector without undermining fair competition.