The implementation of the cylinder recirculation model (CRM) is allowing entrepreneurs with limited capital to invest in the liquefied petroleum gas (LPG) distribution chain, Chief Executive of the National Petroleum Authority (NPA), Dr Mustapha Abdul-Hamid has said.

He said unlike the traditional LPG distribution system which requires huge capital in the establishment of LPG filling stations and related distribution costs, little investment is needed for the setting up of LPG depots and exchange points under the CRM.

Speaking at this year” ‘s NPA’s Consumer Week Celebrations in the Eastern Regional capital, Koforidua, on Thursday, July 4, 2024, the NPA Boss said the CRM would also create more jobs for the youth at the LPG depots, exchange points and transportation of cylinders.

The occasion, which was preceded by a CRM and a safe LPG educational campaign in the region, was held on the theme: ‘CRM: Making LPG accessible to all safely and efficiently’.

It was attended by market women, drivers, professionals and students. Board Members and Directors of NPA, security capos and heads of state institutions also graced the occasion under the chairmanship of the Omanhene of the New Juaben Traditional Area,
Daasebre Kwaku Boateng III.

Dr Abdul-Hamid explained that huge capital was needed to acquire a licence for the importation of petroleum products.

He said a substantial amount was also needed by an investor for the setting up of filling stations and indicated that the investor would start with seven filling stations, comprising four state-of-the-art and three ordinary.

However, the NPA Boss who is also the President of the African Refiners and Distributors Association (ARDA) said people who own land or students with limited capital could use their parents’ land to establish LPG depot exchange points.

Besides, he said people could procure vehicles to engage in the transmission of filled cylinders to customers.

The NPA Boss said the Authority was engaging with the government to reduce taxes on LPG to make it affordable, accessible and available to the majority of Ghanaians.

He, therefore, urged the people to embrace CRM to improve safety in the distribution and use of LPG and ensure the attainment of 50 per cent penetration by 2030.

In his remarks, a Deputy Minister of Energy, Mr Collins Adomako Mensah, said the CRM was geared towards encouraging the use of LPG for cooking and saving the lives of women from the harmful effects of smoke from charcoal and firewood.

It would also reduce the felling of trees and preserve the environment.

The Eastern Regional Minister, Mr Seth Kwame Acheampong, and a Deputy Minister of Trade and Industry, Mr Michael Okyere Baafi, urged the public to opt for the CRM to ensure safety in the use of LPG to protect lives and property.

For his part, the Industry Coordinator of the Association of Oil Marketing Companies, Dr Clement Amoako, gave the assistance that the association would collaborate with the NPA to ensure the successful implementation of the CRM.

The General Manager of Blue Ocean, Mr Zwelithini, and the Head of Brands and Communications of New Gas, Mr Samuel Bonnuedie, said their bottling companies had started dispatching filled cylinders to selected exchange points in Accra and would be extended to the other regions.

In his remarks, Daasebre Kwaku Boateng III urged all people to embrace CRM since it is the surest way to save their lives and prevent the harmful effects of climate change.