President Mahama justifies new petroleum levy as "difficult but necessary"

President John Dramani Mahama has defended a new levy on fuel. He called it “difficult but necessary” for stabilizing the economy. Parliament passed the law on Monday, imposing a GHS1 levy on every litre of fuel.

During a presentation at Jubilee House, Mahama acknowledged public concerns. However, he insisted that the levy is justifiable and prudent. “This was not a decision we took lightly,” he said.

The President explained that proceeds from the levy will not go into the Consolidated Fund. Instead, they will be protected from its "hazards." This ensures funds are used for strategic energy infrastructure and economic stability.

Mahama promised to address systemic inefficiencies in the petroleum sector. He hinted at tighter oversight and improved transparency for better accountability.

While the levy may slightly increase fuel prices, officials believe long-term benefits will outweigh this discomfort. The government aims to reduce fiscal deficits and find sustainable funding without relying heavily on external borrowing.

Despite skepticism, Mahama remains optimistic that Ghanaians will understand the broader intent behind this move.