By: Jude Tackie
Four months after the implementation of the Cylinder Recirculation Model (CRM) aimed at revolutionizing LPG distribution in Ghana, LPG marketers have expressed growing concerns over its ineffectiveness.
A recent survey conducted by the Centre for Environmental Management & Sustainable Energy (CEMSE) sheds light on the perspectives of these stakeholders, highlighting critical issues hindering the smooth transition conceived by the National Petroleum Authority (NPA).
A survey highlighted a scarcity of exchange points within communities in the Greater Accra Region remains a glaring issue, disrupting the intended flow of the CRM.
According to the survey’s findings, LPG marketers identified several key concerns impeding the successful implementation of the CRM.
The NPA reportedly engaged stakeholders, including LPG marketers, the Ministry of Energy, and petroleum service providers before the module was passed in 2023.
However, out of 14 participants, only one claimed to have been consulted during the policy formulation stage, with none reporting their inputs being considered in the final document
“Only one respondent said he was consulted during the programme design phase. The one person who said he was consulted narrated that, the policy (CRM) formulators did not factor in his inputs in the policy or model formulation stage. However, all 14 shared similar opinions that they were series of presentations of the policy before the launch of the model,” the report indicated.
This oversight according to the survey has led to a disconnect between the CRM’s objectives and the practicalities of its execution, exacerbating implementation challenges.
Safety emerges as another critical issue raised by LPG marketers. While safety is a primary objective of the CRM, the absence of outlined safety protocols at cylinder exchange points poses a significant barrier. Participants emphasized the need for clear safety standards and proper education for handlers at these points to mitigate risks effectively.
LPG marketers also argue that the NPA’s failure to factor in financial implications during the model’s design phase places an undue burden on them. From land acquisition to infrastructure development, the financial strain threatens the viability of the CRM for many marketers.
Moreover, the transition period provided by the NPA received widespread criticism from participants. LPG marketers contend that the five-year transition period is insufficient, advocating for a more extended timeframe of ten years to facilitate a smoother transition and allow for the reinvestment of profits into exchange point infrastructure.
In response to these challenges, LPG marketers proposed alternative solutions, such as establishing exchange points at their refilling plants to cater to diverse consumer needs. However, these proposals have not been accommodated by the NPA, further exacerbating tensions between stakeholders.
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