Kwadwo Nsafoah Poku, an energy analyst and member of the New Patriotic Party (NPP), has cautioned that fuel prices in Ghana are likely to surge in the next pricing window, a development that could further pressure household budgets and drive inflation upward.

Speaking on The Big Issue programme on Channel One TV on Saturday, March 7, Mr. Nsafoah Poku indicated that the expected increase could be “exponential” in the coming months due to limited fuel supply and rising crude oil prices.

He explained that scarcity of petroleum products on the market would inevitably push prices higher.

“The lack of the product on the market is going to create high prices because it will be scarce. Then the high price of crude oil also matters because fuel prices are determined by replacement cost, not the price at which the product was initially purchased,” he said.

Mr. Nsafoah Poku added that fuel marketers typically set their prices based on how much it will cost to replace the products they sell.

“In the next pricing window, we are likely to see a significant jump because marketers are now pricing based on the cost at which they will replace fuel in the coming weeks,” he explained.

His comments come amid rising tensions in the Middle East, which have already contributed to volatility in global fuel markets.