As the government grapples with the pressing issue of Ghana’s energy sector debt, Majority Leader Mahama Ayariga has made a fervent appeal to Ghanaians in support of the Energy Sector Levies (Amendment Bill), 2025, which imposes a “one cedi per litre” tax on fuel purchases.
Mr Ayariga believed the bill, which was introduced in Parliament by Finance Minister Dr Cassiel Ato Forson, is the direct solution to end the persistent challenges in the energy sector.
The bill, submitted under a certificate of urgency, if approved, will impose fresh taxes on all petroleum products, which the Finance Minister says is necessary to clear an alarming US$3.1 billion energy debt as of the end of March 2025.
This triggered a heated debate in Parliament on Tuesday, June 3, as Minority Leader Alexander Afenyo-Markin described the request by the Finance Minister as another form of the E-Levy which has been scrapped by the government.
However, Mr Ayariga was emphatic in distinguishing this proposed Energy Sector Levy Amendment Bill from the contentious E-levy, which faced widespread public opposition.
READ ALSO: 1 litre, GH¢1: New fuel levy looms as Finance Minister submits request to Parliament
Speaking during the parliamentary session today, Mr Ayariga sought to clarify the government’s intent behind the proposed energy levy, stressing its singular focus on stabilising the nation’s electricity supply.
“I think the bill has been referred to the committee. I just think that for the records, what is before us is not the E-levy, what is before us is the Energy Sector Levy Amendment Bill, and basically it is saying that Ghanaians should give one cedi, one Ghana cedi each, when they buy a litre of fuel so that we can end dumsor. That’s all,” Ayariga passionately articulated.
He reiterated the simplicity and urgency of the call: “All of us should contribute one cedi, just one cedi, so that we can end dumsor. One cedi; each of us, when we buy fuel, one litre, one cedi.”
Ayariga’s repeated insistence on the levy not being the E-levy underscores the government’s awareness of public sensitivity surrounding taxation and its previous unpopular financial policies.
The E-levy, an electronic transaction tax, had met with significant public backlash and legal challenges upon its introduction.
The Majority Leader informed the House that the Energy Sector Levy Amendment Bill has been referred to the relevant parliamentary committee for scrutiny.
He urged both his colleagues and the public to exercise patience and allow the parliamentary process to unfold.
“Let’s all hold on. The committee will present their report to us, and when we consider their report, we can debate all these matters. We can debate the urgency. We can debate the levy itself,” he advised, concluding with a plea for calm: “So please, let’s hold our fire.”
The US$3.1 billion as of March 2025 includes significant arrears to Independent Power Producers and fuel suppliers.
The government views this new levy as a dedicated and necessary funding stream to procure essential fuel for power generation, ultimately aiming to restore stability to Ghana’s electricity grid.
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