Majority Leader backs “1 litre, GH¢1 levy to end dumsor”

The Ghanaian government is facing a significant energy sector debt. Majority Leader Mahama Ayariga has urged Ghanaians to support the Energy Sector Levies (Amendment Bill), 2025. This bill proposes a tax of "one cedi per litre" on fuel purchases.

Mr. Ayariga believes this bill is crucial for solving ongoing energy issues. Finance Minister Dr. Cassiel Ato Forson introduced it in Parliament. The bill aims to address an alarming US$3.1 billion energy debt by March 2025.

On June 3, Parliament debated the proposal heatedly. Minority Leader Alexander Afenyo-Markin criticized it, likening it to the scrapped E-Levy. However, Mr. Ayariga emphasized that this new levy is different from the E-levy.

During the session, he clarified that the proposed levy focuses on stabilizing electricity supply. He stated, "What is before us is not the E-levy." He explained that each Ghanaian should contribute one cedi when buying fuel to help end dumsor.

Ayariga stressed the urgency of this contribution: "One cedi; each of us, when we buy fuel." His insistence highlights awareness of public sensitivity regarding taxes and past unpopular policies.

The E-levy faced backlash and legal challenges after its introduction. The Majority Leader noted that the Energy Sector Levy Amendment Bill has been sent to a parliamentary committee for review.

He called for patience from his colleagues and the public during this process. "Let's all hold on," he advised, urging calm as discussions continue.

As of March 2025, the US$3.1 billion debt includes arrears owed to Independent Power Producers and fuel suppliers. The government sees this new levy as essential for securing fuel needed for power generation and restoring stability to Ghana's electricity grid.