The Sierra Leone Petroleum Regulatory Agency (PRA) was established to license and regulate the efficient importation, storage, transportation and distribution of petroleum, to ensure its regular availability to consumers at reasonable prices, and to provide for other related matters.
The Agency, on Thursday 30th November 2023, sealed the NP Pump station at Brookfields for hoarding oil products, which is in contravention of the PRA regulations in the country. With almost 15,000 litres of petrol and 2,200 litres of diesel, the station was refusing to sell to the public, causing artificial scarcity. PRA informed the general public that there is adequate stock of petroleum products that will cover beyond the festive period, hence there should be no tendency for speculative or panic buying.
“The NP petroleum station at Brookfields, Kinghaman Road Freetown, was sealed and license suspended after it was caught up on the supervision by the Chairman of the PRA, during the investigation as to why it refused to sell out to the public,” a report states, and added that the findings came out that it has sufficient products as follows: Petrol: 14,800 litres, 10,000 in BRV, 4,800 litres underground and Diesel: 2,200 litres.
An Expert in the sector remarked that the negative consequences of a pump station hoarding oil products in Sierra Leone can have several implications for both the economy and the population. “Hoarding by a pump station restricts the availability of oil products in the market, leading to fuel scarcity. Limited supply can cause prices to skyrocket, burdening consumers and businesses alike. This can have inflationary effects on the overall economy, making transportation, production, and daily activities more expensive,” he said and added that oil products are essential for various sectors, including transportation, agriculture, manufacturing, and electricity generation. When a pump station hoards oil products, it disrupts the smooth functioning of these sectors, hindering economic activities and potentially leading to decreased productivity, job losses, and a slowdown in economic growth.
