The Chamber of Oil Marketing Companies (COMAC) is urging a major restructuring of Ghana’s downstream petroleum industry, calling for the cancellation of inactive licences as part of efforts to restore balance and efficiency in the sector.
The appeal follows what COMAC describes as excessive licensing in 2025, which it says has led to market saturation and unhealthy competition among operators.
According to its latest Industry Report, the number of Oil Marketing Companies (OMCs) and LPG Marketing Companies rose to more than 229 within the year. COMAC warns that the rapid expansion has triggered aggressive price competition, including unsustainable undercutting among firms.
The Chamber further notes that about 57 licensed companies remain non-operational, yet continue to hold valid licences despite not consistently engaging in fuel distribution activities.
COMAC argues that this situation distorts the market and weakens regulatory efficiency, making it necessary for authorities to review the current licensing regime.
To address the challenges, the Chamber is advocating stricter entry requirements, including higher capital thresholds, stronger governance standards, and enhanced operational benchmarks for both new and existing market players.
It is also calling for a structured merger and consolidation programme to streamline petroleum service providers that fail to meet revised standards, with the aim of improving long-term stability and competitiveness in the downstream sector.
COMAC maintains that reforming the licensing framework and removing dormant operators will help create a more sustainable and well-regulated petroleum market.
