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Petroleum Price Increament – From Monday, September 1, 2025, the cost of petroleum products in Ghana is projected to rise significantly per litre, leaving consumers and businesses worried about higher transportation and living expenses. The Chamber of Oil Marketing Companies (COMAC) has released its petroleum pricing outlook, which indicates that petrol, diesel, and LPG will all experience price increases despite global crude oil prices trending downward.
Petrol Price Increase to Hit Consumers Hard
The latest outlook report from COMAC suggests that petrol prices at the pump are expected to increase by 3.86 to 5.40 percent per litre starting September 1, 2025. This hike could push a litre of petrol to around GHS 13.67, a development that will directly affect drivers, transport operators, and households across the country.
For many Ghanaians, this comes as unwelcome news, especially given the already high cost of living. Transport fares are likely to be adjusted upward, which will add additional strain on consumers who are still grappling with rising food and utility prices.
Diesel Price Hike Brings More Pressure
The outlook also reveals that diesel prices could increase by 3.39 percent per litre, bringing the new price closer to GHS 14.35. Diesel is heavily relied upon by commercial transport operators, truck drivers, and businesses that use generators due to unreliable power supply
This hike is expected to have a ripple effect on the cost of goods and services, as transportation of food items, industrial goods, and imports will become more expensive. Many business owners have already expressed concern that the increase in petroleum prices will further squeeze profit margins and reduce consumer demand.
LPG Price Rise to Affect Households
Liquefied Petroleum Gas (LPG), which is widely used in Ghanaian homes for cooking, will also see an increase of up to 4.57 percent per kilogram. For households that rely solely on LPG, this adjustment means higher daily living costs. Some families are already considering switching to alternative fuels such as charcoal or firewood, which may have environmental consequences.
Why Are Petroleum Prices Increasing?
Although international market prices for crude oil products have seen reductions; petrol by 0.45 percent, diesel by 3.73 percent, and LPG by 1.73 percent Ghanaian consumers will still pay more at the pumps.
The main reason cited by COMAC is the depreciation of the cedi against the US dollar. The exchange rate has shifted from GHS 10.71 to GHS 11.20 per dollar, representing a 3.98 percent depreciation, the sharpest decline since the beginning of 2025.
According to the chamber, this decline in the cedi’s value significantly increases the cost of importing petroleum products, offsetting the potential benefit of falling crude oil prices on the world market.
Additional Factors Influencing the Price Hike
Apart from the cedi depreciation, other factors have contributed to the price adjustments. One of them is the new GHS 1 levy on certain petroleum products, which industry players argue has worsened the cost build-up at the pumps.
Moreover, Ghana has recently faced supply challenges in the petroleum sector. Reports indicate that there was a shortage of finished petroleum products, particularly petrol, in the middle of August 2025. This forced some Oil Marketing Companies (OMCs) to raise prices earlier than expected, at a time when prices should have remained unchanged.
These disruptions have created an unstable market environment, leading to further price increases as suppliers try to recover losses.
What This Means for the Average Ghanaian
The increase in petroleum product prices will undoubtedly affect every aspect of daily life. Transport fares are expected to rise, the cost of food transported from farming regions will go up, and household energy costs will increase. Businesses, especially in logistics, retail, and food distribution, may have to raise prices to stay afloat.
Some experts have warned that the ripple effects of these petroleum price hikes could push inflation further up, reducing the purchasing power of ordinary Ghanaians. The pressure on households may also increase demand for wage adjustments, especially from transport unions and organized labor groups.
Calls for Government Intervention
Industry stakeholders and consumer advocacy groups are calling on the government to intervene in order to cushion citizens from the effects of the hikes. Suggestions include providing targeted subsidies, reviewing the new petroleum levy, and stabilizing the cedi through stronger forex management policies.
Others have recommended that Ghana should strengthen its local refinery capacity to reduce dependence on imported petroleum products, which are heavily influenced by international exchange rate fluctuations.
Conclusion
As September 1 approaches, Ghanaians are bracing for the impact of higher petroleum prices. With petrol expected to hit GHS 13.67, diesel GHS 14.35, and LPG facing a nearly 5 percent increase, households and businesses alike will feel the pressure. Unless the government and industry stakeholders implement measures to stabilize prices, the cost of living in Ghana is set to rise further, deepening economic challenges for millions of citizens.
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