BOST to prioritise local participation in downstream petroleum expansion drive

Nana Amoasi VII highlighted a lack of significant investments in BOST. Over the past decade, there have been no improvements to transportation and storage facilities. This stagnation is problematic due to rising fuel demand. Neighbouring countries are also interested in using Ghana’s infrastructure. Countries like Mali and Burkina Faso want to move products through BOST.

To address this demand, BOST plans several projects in the coming years. These include doubling its barge fleet on Volta Lake. They will also expand the aging pipeline network. A new storage terminal will be built in Takoradi for the western corridor.

One key project is the Buipe to Bolgatanga Petroleum Products Pipeline (B2P3). Nana Amoasi VII called it essential for regional logistics. The 261-kilometre pipeline has an 8-inch diameter and can hold 8,800 cubic meters. It will help deliver products to Upper East and Sahelian regions.

Currently, Ghana uses a single six-inch pipeline from Tema to Akosombo. This pipeline was installed in 1995 and has a lifespan of 25-40 years. BOST aims to upgrade and expand this capacity soon. The Tema-Akosombo Petroleum Pipeline (TAPP) carries gasoline, gasoil, and kerosene.

BOST's strategy emphasizes local participation in these projects. Nana Amoasi VII stated that Ghanaian firms will get exclusive contracts for major areas like pipeline construction. A Ghanaian company will lay the new 12-inch pipeline from Tema to Akosombo.

BOST wants local businesses involved in large-scale public infrastructure investments. They are inviting private sector actors to invest in their logistics portfolio as well.

Another part of the plan includes creating a strategic fuel stock facility. This facility can store up to six weeks of national supply for energy security during crises.

Nana Amoasi VII explained that dedicated tanks are needed for this stockpile. Either an existing depot or a new one must be created for this purpose.

The proposed terminal in Takoradi will utilize the port’s deep-water jetty efficiently. It aims to improve fuel imports and serve the Ivory Coast-Liberia corridor effectively.

While these initiatives require significant investment, opportunities exist for Ghanaian firms. Nana Amoasi VII believes they should benefit from every investment in petroleum logistics.