Abstract

1Richard Amponsah (Dr.) and 2 Francis Kelvin Opei

Ghana’s petroleum industry, though relatively young has been touted as having the potential to moving the country from a developing country to a developed one. The growth of the industry is highly dependent on ensuring that petroleum products produced at the downstream sector of the industry are distributed consistently and timely to consumers through an effective and efficient supply chain system. Though this is the ideal situation yearned for by stakeholders, the sector is plagued with challenges that negatively impacts on performance. This study, therefore explored supply chain challenges in the downstream petroleum sector in Ghana. A mixed method approach was adopted to study the phenomenon. Data was collected from key players in the downstream petroleum sector through in-depth interviews and a questionnaire. The study discovered government interference in activities of actors, inability of government to pay under recoveries, government indebtedness to actors, inadequate infrastructure and inability of TOR to refining crude regularly as key challenges that impacted on an effective and efficient supply chain process. The study recommended, the Government of Ghana to inject capital for infrastructural development of the sector as well as wean off its interference in the activities of actors. In this case, key national players like BOST should be given autonomous status.