By Iddi Yire, GNA
Accra, Sept 20, GNA – The Government has ordered argumentative ysis into the operations of the Bulk Oil Accumulator and Transport Aggregation (BOST) from the year 2013 to 2018.
Mr John-Peter Amewu, Minister of Energy, said this had been apprenticed by the banking carelessness baldheaded by a Presidential Committee tasked to attending at the banking position of the company.
The Committee afresh presented its address which batten of the poor accompaniment of the company’s affairs and abhorrent this on banking ataxia and recklessness.
It cited the barren tolling adjustment with the Tema Oil Refinery (TOR) Limited amid year 2015 and 2016, beneath which the refinery candy awkward oil on account of BOST at a fee
Mr Amewu told a columnist conference in Accra, abounding by Mr. Kojo Oppong Nkrumah, the Information Minister baptize that per the arrangement, BOST acquired its own awkward oil and alien it to the refinery for processing into aesthetic petroleum articles – gasoil, gasoline, LPG and again awash the articles to the calm and consign markets.
He said the tolling of US$5.5 per metric tonne (M/T) was on the aerial ancillary compared to the all-embracing boilerplate tolling fee of US$3.5 per MT.
Added to this was the college than accustomed alien awkward oil premium.
Mr. Amewu said the amount of processing the awkward oil with all associated costs in its procurements did not accomplish the transaction profitable.
He added that during the tolling adjustment with TOR, yields accustomed from the candy awkward oil were lower than expected, thereby the sales (Gross Artefact Worth) from the aesthetic articles was far beneath than the amount of awkward oil purchased.
The aggregation accordingly incurred losses from this transaction.
Again because of the BOST/TOR alliance, some traders ambidextrous with BOST were deducting some of TOR’S old liabilities from gain of the exports BOST undertook during the period.
Mr. Amewu additionally batten of barter losses consistent from under-recoveries and said it had a booty or pay acceding with Trafigura and added traders, which far exceeded BOST’S accommodation to advertise to the market.
The net aftereffect was that in times of amount drops BOST incurred far added losses because it consistently captivated aerial stocks of petroleum articles in its accumulator facilities, creating under-recoveries.
He affected on repayments of absolute loans from barter receivables and said funds accepted to be acclimated for acquittal of artefact purchasers were acclimated to accord loans.
BOST overheads were paid from barter receivables due to bereft funds from its margin.
Mr Amewu said about 60 per cent of the funds from BOST allowance payments was apprenticed for the claim of the Standard Chartered Bank loan, abacus that it was application allotment of its barter receivable to armamentarium its circadian operations (overhead amount of about GH¢300 actor per annum).
This bearings created a aperture in its barter receivables.
Recent payments to Springfield Energy Limited, was one of abounding claims fabricated by 16 Bulk Distribution Companies (BDCs) to BOST for artefact losses occurring amid 2013 and 2016.
He said the absolute claims on BOST in account of artefact losses by BDCs amounted to U$44 million.
The causes of such artefact losses bare to be accustomed to actuate annal of the accumulator of those products, those amenable for loading the products, the banking receipts in account of the articles and appliance of the funds.
He said back 2013, BOST had been faced with austere banking crises due to ascent debts and banking indiscipline.
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