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Withdraw new LPG levy or meet up with us in courtroom – Attorneys for COPEC, CPA situation official warning to NPA

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Lawyers for two customer fascination organisations have written officially to the Countrywide Petroleum Authority (NPA) warning that the legality of the not too long ago launched petroleum make-up levy will be tested in courtroom unless of course it is withdrawn.

Lawyers for the Chamber of Petroleum Buyers (COPEC) and the Consumer Defense Company (CPA) hold the view that the Cylinder Financial commitment Margin (CIM) introduced by the NPA violates the Constitution.

“As you are
now knowledgeable, the CIM for all intents and purposes quantities to a tax, as these
the NPA essential the approval of Parliament in order to impose exact. We humbly
wish to attract you focus this in regard of post 174 (1) of the
Structure (1992) and the selection of Progress Info & 2 other people v.
Countrywide Petroleum Authority & Another…” the letter by guide counsel for
COPEC and CPA, Martin Kpebu, to the NPA read through in section.

The letter said even further that even though COPEC and CPA back again government’s earnings mobilisation push, this should be carried out with regards to the plight of Ghanaian citizens.

“Take notice that should you fail to heed our demand, I have my clients’ guidance to convey an motion against you in a court of proficient jurisdiction to compel you to do so and for fees like solicitor’s service fees, with no more recognize to you,” the letter concluded.

COPEC had before instructed Joy Small business that it intends to challenge the legality of the levy in court, consequently the letter to the NPA dated April 3, 2020, is just one action even further in its marketing campaign to get it scrapped.

Cylinder Expense Margin

The 13.5 pesewas
Cylinder Restoration Margin was released lately by the NPA to take effect on
April 1, 2020.

According to
the NPA, opposite to claims by entrepreneurs of liquefied petroleum gas that the
introduction of the margin will increase the solution value at the pumps and thus
load the purchaser, that is not the case.

“Per our projection for this incredibly pricing window (1st April to 15 April 2020), customers are envisioned to take pleasure in a value reduction of about 11.56 per cent even with the introduction of the Cylinder Restoration Margin. These projections have been made just before the decision to introduce the Cylinder Restoration Margin,” the NPA defended in a press release issued on April 3.

In accordance to
the NPA, under the Cylinder Recirculation Design LPG cylinders will be procured,
owned, branded and preserved by the Oil Advertising Providers (OMCs) and LPG
Advertising and marketing Organizations (LPGMCs).

“The LPGMCs
and OMCs will think entire accountability of the security and routine maintenance of the
cylinders, and also be liable for any accident involving their branded
cylinders.

“The margin is, hence, to guide the marketers to offset some of their money costs, in accordance with the complete cost restoration basic principle of petroleum solutions pricing in Ghana,” the NPA defends.

Meanwhile, browse below the complete letter by the lawful counsel to the NPA concerning the marketing campaign by COPEC and CPA to get the new levy withdrawn.



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