RE: NPA suspends BDCs/OMCs for Tax evasion

We refer to the statement issued by the National Petroleum Authority on the above subject dated 24th July 2018 and hereby respond as follows;
1. The Ghana Chamber of Bulk Oil Distributors (CBOD) acknowledges and supports interventions by the NPA and government agencies to address the menace of petroleum tax evasion that continues to bedevil the industry. As reported in our 2017 industry report, this phenomenon robbed the State in excess of Ghs1.4 billion in 2017 and must strongly be addressed.
2. The press release by the NPA identifies two of our members, Misyl Energy Co. Ltd and Globex Energy Co. Ltd as tax evasion culprits. This we respectfully believe is inaccurate and unintendedly misleading.
3. The BDCs mentioned in the NPA release have not been sanctioned for tax evasion but rather for under declaring their fuel sales volumes to the NPA. An action which is considered a breach of the NPA Act, 2005, (ACT691) as well as the terms and conditions governing their licenses.
4. BDCs do not collect petroleum taxes or pay petroleum taxes in the petroleum tax administration process. This function is the sole preserve of Oil Marketing Companies (OMCs). The taxes are to be paid by OMCs after reconciliation with the GRA subject to agreed payment terms.

Thank you.

Corporate and Regulatory Affairs Unit