Five companies to start Cylinder Recirculation Model–NPA

The National Petroleum Authority (NPA) has licensed five LPG marketing Companies to undertake the Cylinder Recirculation Model.

The policy is expected to be rolled out before the end of the year.

The marketing companies under the Cylinder Recirculation Model will be responsible for the distribution of already filled LPG Cylinders to consumers.

They will also be responsible for the purchasing and branding of the cylinders.

Per the model, the Cylinders will be filled at a point, and transported to the marketing companies for onward sale to consumers.

ALSO READ: 50,000 Free cylinders, stoves for rural communities

Government has indicated that it will provide financial assistance to the marketing companies that will require more funds to ensure efficient service delivery.

“Cabinet directed a number of actions including the immediate commencement of the implementation of the National LPG Promotion Policy based on the Cylinder Recirculation Model (CRM). The policy is to ensure that at least 50% of Ghanaians have access to safe and environmentally friendly LPG for domestic, commercial and industrial use by 2030,” Deputy Energy Minister Mohammed Amin Adam said at a forum to discuss the policy as part of sensitization.

According to government, a risk assessment exercise of all LPG Refilling Plants across the country has been completed.

A total of 510 classified high risk LPG retail outlets representing 77.4% will have their stations converted into cylinder distribution centres under the CRM while the classified low risk stations will be considered as auto gas refilling centres with improved standards.

“To our LPG marketing companies, what this means is that you have no cause for alarm. Your jobs are still secured. We are only changing the manner in which LPG is distributed and consumed in the country,” Mr. Amin Adam assured.

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Henry Cobblah

Henry Cobblah is a Tech Developer, Entrepreneur, and a Journalist. With over 15 Years of experience in the digital media industry, he writes for over 7 media agencies and shows up for TV and Radio discussions on Technology, Sports and Startup Discussions.

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