Fuel prices could increase in the first pricing window of July, due to rising tensions in the Middle East, per the Chamber of Petroleum Consumers (COPEC).

Speaking to Citi, the Executive Secretary of COPEC, Duncan Amoah, indicated that the ongoing conflict between Iran and Israel could disrupt the global supply of oil.

According to him, the impact on global oil supply will create supply issues in Ghana, as the country imports its fuel.

“This week is likely to see a lot of activity on the international front as far as fuel pricing or petroleum pricing is concerned and Ghana clearly cannot be excused that possibility of paying more for fuel.

"What I see happening locally is that the BDCs may take a cue knowing well that it is riskier landing cargo than it was a week before due to the tensions on the strait and so I will not be surprised that in the course of the week some BDCs will adjust their prices upwards and once that happens some of the OMCs will clearly have to follow because they buy directly from the BDCs,” he said.

The executive secretary of COPEC has asked the government to revive Tema Oil refinery to help reduce Ghana’s dependence on imported fuel.Iran and Israel exchanged missiles on Saturday night, June 14, and early on Sunday, marking the third consecutive day of attacks between the two countries after Israel initially attacked Iran on Friday morning.

The escalating missile exchanges between Israel and Iran are contributing to rising global crude oil prices, posing a potential threat to Ghana’s fuel costs and overall economic stability.

Meanwhile, President John Dramani Mahama has directed the Ministers for Finance and Energy, Dr Cassiel Ato Forson and John Abdulai Jinapor, respectively, to closely monitor the unfolding conflict between Israel and Iran and provide proactive measures to safeguard the country’s recent economic gains from external shocks.

“I have instructed the Ministers of Finance and Energy to keep a close eye on the developments and model the possible impact on our petroleum prices. They must prepare appropriate measures to safeguard the gains we’ve made,” the president said during his Thank-You Tour of the Savannah Region on Saturday, June 14.

Amid the conflict, the government has declared the immediate closure of the embassy in Tehran.

The Minister for Foreign Affairs, Samuel Okudzeto Ablakwa, announced the immediate evacuation of Ghanaians living in Iran on Monday, June 16.

According to Mr Ablakwa, the evacuation through land borders covers all Ghanaian diplomats, students, professionals, and other compatriots.

In a post on Facebook, the sector minister noted that the decision has been taken to "guarantee the safety of our embassy staff."

The government has again instructed that embassy operations in Tel Aviv be reduced to the barest minimum.

The government noted that it is keenly following developments in Israel and will advise shortly.

In the meantime, Ghanaians in Israel have been advised to maintain close communication with the country's consular department.

"Government assures that no effort would be spared in protecting Ghanaian lives and keeping all Ghanaians out of harm's way," the sector minister assured.

The Government of Ghana has reiterated its demand on both parties to pursue diplomatic options and end hostilities.

In a related development, Israel is urging Ghana to reconsider its neutral position after the country abstained from voting in support of or against charges brought against Iran for violating its nuclear non-proliferation obligations.

The voting took place on Thursday, June 12, during a closed-door meeting of the 35-member Board of Governors of the International Atomic Energy Agency (IAEA) which is currently being chaired by Ghana. The session was held at the IAEA headquarters in Vienna, Austria.

The vote, which was the first of its kind in nearly 20 years, saw the 35-member IAEA Board formally declare that Iran is in breach of its nuclear non-proliferation obligations. The resolution was supported by 19 countries and opposed by three—Russia, China, and Burkina Faso—while 11 nations, including Ghana, abstained.

The resolution, submitted by the United States, Britain, France, and Germany, concluded that Iran had failed to provide the IAEA with full and timely cooperation since 2019 concerning undeclared nuclear material and activities. It marks a significant escalation in the agency’s standoff with Tehran.

In what Israel describes as a friendly and respectful request, the Israeli Ambassador to Ghana, Roey Gilad, during a media engagement in Accra, though acknowledging the legitimacy of Ghana’s abstinence due to its chairmanship position, called on the government to re-evaluate its longstanding non-aligned foreign policy position in critical global matters, particularly where international peace and security are concerned.

“The formal reason is that Ghana is the chair of the board of the IAEA, but we felt this is something that is so crucial to Israel, which has to do with the future of Israel—that the state that is a member of the United Nations, Iran, is completely for the destruction of the Jewish sovereign state in Israel

As much as we have full respect for the sovereign decision-making process in Ghana, including the Foreign Affairs [Ministry], we believe in the traditional policy of non-alignment that has existed here since 1957 under Nkrumah…I personally believe that maybe the policy of non-alignment should be re-evaluated,” the Israeli Ambassador said.