Minority’s Call to Scrap GH₵1 Energy Levy “Unfounded” — Sanja Nanja

The call by the Minority to abolish the GH₵1 Energy Levy has been described as unfounded and baseless, as the government introduced the policy to help offset energy sector debts accumulated over the previous eight years, which remain on the books of ECG.

The policy direction of the NDC government over the past one and a half years has yielded positive results, helping to stabilize power supply. The levy, according to government officials, has also contributed to settling some of the outstanding debts inherited from the previous NPP administration.

The Member of Parliament for Atebubu-Amantin, Hon. Sanja Nanja, made these remarks on the Adekyee Mu Nsem morning show on Ahotor 92.3 FM in Accra, hosted by Citizen Kofi Owusu.

He maintained that the Minority’s position is unjustified, emphasizing that the levy is both prudent and timely in addressing the energy sector’s debt burden—particularly debts owed to independent power producers, which require urgent attention to ensure the sector remains stable and capable of meeting the country’s energy demands for both domestic and industrial use.

Hon. Nanja further criticized the Minority for what he described as inconsistency and a lack of candor on issues relating to the energy sector.

Meanwhile, the Minority in Parliament has called on the government to scrap the GH₵1 levy on petroleum products, arguing that it has outlived its purpose and is worsening the financial burden on citizens amid rising fuel costs.

The Deputy Ranking Member of the Energy Committee, Collins Adomako Mensah, noted that ongoing tensions involving Israel, the United States, and Iran have driven up global crude oil prices, directly impacting fuel prices in Ghana.

“Keeping the one Ghana cedi levy is punishment,” he stated, urging the government to repeal it immediately under a certificate of urgency and to conduct a comprehensive review of all taxes and levies embedded in petroleum prices.

As of the second pricing window of March 2026, diesel was selling at GH₵15.60 per litre, while petrol had exceeded GH₵12.40 per litre. The Energy Sector Levy (Amendment) Act, 2025 added approximately GH₵1 to the price build-up, bringing the total levy for debt repayment and sector shortfalls to GH₵1.95 for petrol and GH₵1.93 for diesel.

The Minority further argued that the government had already addressed the energy sector’s outstanding debt between January and December 2025, paying approximately $1.47 billion. This included the repayment of GH₵597 million drawn under the World Bank partial risk guarantee, as well as the settlement of all outstanding gas invoices.

“With the World Bank guarantee fully restored and the energy sector debt cleared, the justification for the GH₵1 levy has completely evaporated,” Mensah asserted.

He added that the government should also consider suspending or restructuring other embedded levies to cushion consumers from the impact of rising global oil prices.

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