The Executive Director of the Centre for Environmental Management and Sustainable Energy (CEMSE), Benjamin Nsiah, has criticized the government for what he describes as a lack of transparency and proper stakeholder engagement in the rollout of the new Energy Sector Shortfall and Debt Repayment Levy.
According to Mr. Nsiah, government failed to adequately consult key industry players before presenting the levy in Parliament, raising concerns about the democratic process behind such a critical policy decision.
Mr. Nsiah urged the government to shift focus from imposing new taxes to undertaking structural reforms in the energy sector.
Speaking to ABC News GH on Monday, June 9, 2025, he cautioned against the long-term implications of tax-driven fuel price hikes, stating that once such levies are introduced, they tend to persist indefinitely.
He emphasized the need for comprehensive reforms to address the root causes of financial shortfalls in the energy sector rather than relying on piecemeal revenue measures.
His comments follow the Ghana Revenue Authority’s (GRA) announcement of a one-week delay in implementing the new levy, originally scheduled for June 9 but now pushed to June 16, 2025.
The GHS1 per litre tax, aimed at addressing energy sector debts, was met with resistance from the Chamber of Oil Marketing Companies (COMAC), which criticized the policy for its potential to worsen fuel price volatility and for lacking adequate consultation.
