The Chamber of Oil Marketing Companies (COMAC) is working to reopen dialogue with Star Oil Limited following the latter’s decision to suspend its membership due to a disagreement over a price floor policy. COMAC’s leadership, including the Board Chairman, is initiating efforts to encourage Star Oil to reconsider its suspension and engage in discussions. Dr. Riverson Oppong, COMAC’s CEO, emphasized the importance of consultation and consensus within the organization, stating that differing opinions should not lead to adversarial relationships.
In an interview, Dr. Oppong confirmed that the Board is actively seeking to reconnect with Star Oil, stressing that disagreements are common in large associations but should not disrupt collaboration. He expressed disappointment over Star Oil’s choice to suspend its membership instead of addressing concerns through established channels within COMAC. The Board is expected to convene to further discuss the situation and explore ways to resolve the issues at hand.
Star Oil Limited announced its indefinite suspension from COMAC in a statement, citing careful consideration of recent developments that have affected the representation of member interests. The company has been an active member and significant financial contributor to COMAC but felt that its expectations for fair representation and constructive discourse were not being met. This led Star Oil to reevaluate its association with the Chamber.
The oil marketing company also expressed concern about negative public perceptions arising from inadequate communication within COMAC. Star Oil asserted that implications regarding its motives were unfounded and damaging to its corporate reputation, particularly given its longstanding contributions to the industry. The company is committed to maintaining its integrity and standing within the sector.
Star Oil’s opposition to the price floor policy is based on economic principles, arguing that it disrupts pricing by preventing timely adjustments to international fuel prices and foreign exchange fluctuations in the local market. The ongoing dialogue between COMAC and Star Oil is crucial for addressing these concerns and fostering a collaborative environment within Ghana’s downstream petroleum sector.