OMCS Brandish Insurance Policies

By Cecil MENSAH

In the midst of public outcry about safety at fuel stations, Oil Marketing Companies (OMCs) are smothering fears by signalling that they have insurance policies.

Mr. Michael Bozumbit, of Petrosol and Vice Chairman of the Association of Oil Marketing Companies, a group of operators in the downstream petroleum sector, has said that OMCs' operations are guided by two insurance covers, namely: property insurance and public liability insurance, which covers the public.

Mr. Bonzumbit made this revelation in an interview with Business Day when the OMCs held a press conference in Accra last week.

According to him, it is a regulatory requirement from the regulatory agency, National Petroleum Authority for all OMCs to have two insurance covers.

He said the NPA will not renew a license without an OMC meeting these requirements in accordance with the rules and regulations of the NPA.

He pleaded with the regulatory agencies to be calm in their dealings with the OMCs especially when public pressure is brought to bear on them in the wake of explosions.

He appealed to the regulatory bodies to make the powers entrusted to them by the public work and not wait for the public outcries before acting.

Earlier, Mr. Kweku Agyemang-Duah, Chairman of AOMCs, reminded the general public that its operations are one of the highly regulated industries in the country.

According to him, a single permit for operating a filling station in the country takes more than six months to acquire.

He said these include getting certifications from the Ghana Standards Authority, Environment Protection Agency, NPA, Metropolitan, Municipal and District Assemblies (MMDAs), Ghana National Fire Service and the Town and Country Planning.

"We dully acknowledge that we have the prime responsibility of making our facilities safe and secure for our numerous customers whom we have served with the supply of LPG for about thirty years."

He noted that the demonstrations against legitimate retail outlets and hitting of the 'panic button' exemplified by the wanton closures of retail outlets in 'Rambo style' by some unrepentant MMDAs in an industry regulated by five Ministries is not the best.

These unwarranted actions must be condemned as it is fast creating disaffection for the OMCs and LPGMs in the country he explained.

He said the downstream petroleum industry is well guided and regulated by the NPA and other statutory authorities in the country.

He gave the assurance that the association will intensify the peer audit activities with the priority to outlets in the congested areas especially on the discharge of LPG from the bulk road vessels (tankers).

'We will continue to provide the requisite training for all our personnel especially the attendants, drivers and their mates" he maintained.

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