By Thaimu
During an interview on Truth Media Morning Devotion, the Minister of Information, Chernor Bah has confirmed that the Government has owed all Marketting Companies subsidies for April, May and June. For May alone, the Government owes Oil Marketing Companies for fuel subsidies $3M.
Responding to concerns raised by Sierra Leone Labour Congress Secretary General over the recent fuel price reduction, Information Minister Chernor Bah rejected claims that Oil Marketing Companies (OMCs) are dictating government policy.
Bah was reacting to the said assertion that, during a meeting at the Office of the Chief Minister, OMCs insisted that no company should sell fuel at a pump price of Le27.
Edmond Abu of Native Consortium described the reduction as “cocobeh,” arguing that it was neither proportionate nor beneficial to the people of Sierra Leone. He further alleged that the National Petroleum Regulatory Authority (NPRA) is not fully in control of the sector, claiming that several filling stations failed to comply with the revised pump prices when they took effect. According to Abu, petrol should have been reduced by Le2.50, though he said a reduction of Le3.00 would have been acceptable.
In response, Minister Bah emphasized that Government does not dictate prices to businesses but instead applies the petroleum pricing formula while cushioning consumers through fuel subsidies.
He disclosed that Government currently owes fuel subsidy payments to OMCs for the months of April, May and June. According to him, the subsidy bill stands at approximately US$1 million for April, US$3 million for May, and another US$1 million for June.
Bah explained that fuel prices will continue to be reviewed every two weeks in accordance with the established pricing formula. He stressed that Government is not imposing fuel prices but is implementing a pricing mechanism that reflects market realities while absorbing part of the cost through subsidies.
He further stated that, based strictly on the pricing formula, petrol should retail at around Le34 per litre, while diesel should be approximately Le36 per litre. However, Government has intervened by subsidizing the difference, with reimbursement invoices to be processed for the Oil Marketing Companies.
The Minister maintained that the current pump prices for petrol and diesel remain competitive when compared with those in many other countries, attributing this to Government’s continued subsidy programme aimed at easing the burden on consumers
