Politics

Gov’t Justifies GH₵1 Fuel Levy, Pushes Back Against Minority’s Abolition Demand

Energy Ministry insists levy remains vital for sustaining sector stability despite criticism

Story Highlights
  • Government rejects Minority’s call to scrap GH₵1 fuel levy
  • Energy Ministry says levy still critical for sector stability
  • Policy introduced in 2025 under amended ESLA

The Ministry of Energy and Green Transition has defended the continued enforcement of the GH₵1 fuel levy, firmly rejecting calls by the Minority in Parliament for its removal.

Speaking in an interview on Wednesday, March 18, Ministry Spokesperson Richmond Rockson stated that John Dramani Mahama remains committed to policies that prioritise the welfare of Ghanaians. He stressed that the President listens to public concerns and ensures decisions are taken in the country’s best interest.

Rockson explained that the GH₵1 per litre levy, introduced in 2025 under the amended Energy Sector Levies Act (ESLA), was specifically designed to address financial gaps in the energy sector, particularly for procuring liquid fuels.

He noted that when the Finance Minister presented the bill to Parliament in June 2025, the objective of the levy was clearly outlined as a solution to persistent sector shortfalls.

Dismissing the Minority’s argument that the levy has outlived its purpose, Rockson maintained that the conditions that necessitated its introduction still exist.

The Minority in Parliament has been pushing for the immediate abolition of the levy, describing it as an added burden on consumers amid rising fuel prices. They argue that much of the energy sector debt has been cleared, making the continued charge unnecessary.

However, government insists that any decision on the levy must be based on a thorough and objective review, emphasising its continued importance in maintaining stability within the energy sector.

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