Transparency in the utilisation of the funds that will accrue from the Fuel levy will help in getting Ghanaians to buy into the decision to introduce the levy, the Chairman of the National Economic Dialogue Committee, Dr Ishmael Yamson, has said.
Dr Yamson stated that there will be high agitation from Ghanaians if they don’t see the funds being utilised for the purposes for which they are collected.
Addressing journalists shortly after officially presenting the 2025 National Economic Dialogue Report to the President, Dr Yamson said, “I personally do not have problems with it. As we stand here, the president said we need 5 billion dollars, but this government doesn’t have it, and this is debt accumulated from the past, so you have that debt sitting there, but you will also have to cater for the present
“Nobody will build Ghana for us, this is where we have to do it. The only thing that I am concerned about, and this is what the president stressed, is the transparency that will accompany the use of this money. He says it will be referenced to liquidate the accumulated backlog of debt. Let us see that that is done, let’s see evidence, let it be audited. If he does that, then I can assure you that Ghanaians will also show goodwill because what irritates Ghanaians is when you lie to them, that you are going to do something, and you don’t do it.”
President John Dramani Mahama has defended the government’s decision to impose a new GHS1 fuel levy, describing it as a “difficult but necessary” measure to rescue Ghana’s heavily indebted energy sector and prevent further power crises.
Speaking at the Jubilee House on Wednesday, June 4, during the presentation of the final report of the National Economic Dialogue 2025, President Mahama acknowledged public concerns over the levy but stressed that the move is essential for securing the country’s energy future.
“This decision, though difficult, is necessary and justifiable,” the President stated. “It is part of a broader strategy to liquidate debt and stop the bleeding in the power sector.”
According to President Mahama, the energy sector currently carries over US$3.1 billion in debt, with an additional US$1.8 billion required to finance fuel procurements needed for uninterrupted thermal power generation in the coming months.
“If left unaddressed, this situation significantly threatens national productivity and industrial growth,” he warned.
The levy was passed by Parliament on Tuesday as part of the Energy Sector Levy (Amendment) Bill, 2025, under a certificate of urgency.
It imposes a GHS1 tax on every litre of fuel sold in the country.
President Mahama said the measure follows recommendations from the National Dialogue to take bold action to solve the long-standing energy crisis.
He assured that the estimated GHS5.7 billion in annual revenue from the levy will be ring-fenced and not lodged in the Consolidated Fund.
“Funds from this levy will not be subject to the hazards of the consolidated fund,” Mahama said. “They will be regularly audited, with reports made public to ensure transparent use.”
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The ring-fenced funds will be used specifically to:
- Pay down legacy energy sector debts,
- Finance critical fuel purchases, and
- Prevent future power shortages.
President Mahama concluded by urging Ghanaians to support the policy as a responsible and forward-looking solution to one of the country’s most urgent challenges.
