CEMSE calls for scrapping of BOST levy
By Solomon Nartey Tetteh
The Centre for Environmental Management and Sustainable Energy (CEMSE) has renewed its call on government to abolish the BOST margin, describing it as an unnecessary burden on consumers and businesses.
The levy was introduced to support the Bulk Oil Storage and Transportation Company (BOST) in maintaining fuel storage and distribution infrastructure.
It has quadrupled over the past five years, rising from GHS0.03 per litre in 2020 to GHS0.12 per litre by August 2025.
During this period, revenue generated from the levy increased sharply, climbing from GHS211 million in 2020 to over GHS424 million in 2023.
Critics, however, argue that the funds have not been managed effectively.
“Spending on training, seminars and conferences jumped from GHS3 million in 2020 to GHS20 million in 2023, while the much-publicised Afram Plains pipeline project remains incomplete, with some imported pipes declared unfit for purpose,” the report noted.
CEMSE further highlighted that despite the levy, BOST has become a profitable entity, recording billions of cedis in terminal and commercial revenues.
The centre questioned the fairness of the arrangement, asking: “If other limited liability companies like TOR or ECG don’t receive free levies, why should BOST?”
The report also underscored the wider economic implications of the levy, stressing that it directly affects fuel prices, which in turn drive up transport costs, inflation and household expenditure.
“In a deregulated market where private players already handle 80 per cent of fuel storage and transport, the BOST margin is redundant and gives BOST an unfair advantage. Every extra pesewa added to fuel prices increases the cost of living. The BOST margin is no longer a safety net; it has become a hidden tax,” CEMSE argued.
