GRA postpones ¢1 fuel levy rollout to June 16
By Praisebell Rosemond Larbi
The Ghana Revenue Authority (GRA) has postponed the rollout of the Energy Sector Shortfall and Debt Repayment Levy to June 16, 2025, following stiff opposition from the Chamber of Oil Marketing Companies (COCMA) and other stakeholders in the petroleum downstream sector.
Initially scheduled to take effect on Monday, June 9, the GHS1-per-litre levy faced backlash from industry players who raised concerns over inadequate consultation, poor timing, and the potential inflationary impact on consumers already burdened by fuel price volatility.
In a statement released after discussions with industry leaders, the GRA confirmed that the rollout had been deferred by a week to allow for smoother implementation.
“The Association has concerns with the 9 June implementation date. We have discussed with their leadership in the spirit of cordiality and partnership and have agreed on a new start date of 16 June,” the GRA said in a media interview.
The levy, which forms part of the government’s broader strategy to address over USD3 billion in energy sector debts and finance fuel procurement for power generation, is expected to generate an estimated GHS5.7 billion annually. However, oil marketers have warned that the decision threatens to destabilise the already fragile fuel pricing structure and could pass the cost burden directly onto consumers.
Under the revised directive, the following changes will apply from June 16, 2025:
Motor Spirit (Super Petrol): GHS0.95 → GHS1.95
Automotive Gas Oil (Diesel) and Marine Gas Oil (Foreign): GHS0.93 → GHS1.93
Marine Gas Oil (Local): GHS0.03 → GHS0.23
Heavy Fuel Oil (Residual Fuel Oil – RFO): GHS0.04 → GHS0.24
Partially Refined Oil (Naphtha): GHS0.95 → GHS1.95
Liquefied Petroleum Gas (LPG): Remains unchanged at GHS0.73
To ensure a smooth transition, the GRA has issued specific guidelines:
Petroleum products lifted by any Petroleum Product Marketing Company (PPMC) before June 16 will continue to be taxed under the old levy rates.
All “cash-and-carry” transactions where products are lifted on or after June 16 will be subjected to the new levy rates.
Products that were paid for but lifted after June 1 may still attract the new rates, depending on the arrangement with the refineries or depots.
While the GRA’s decision to engage stakeholders is being viewed as a step in the right direction, the Chamber of Oil Marketing Companies (COMAC) maintains that deeper dialogue is still needed.
“We are not against efforts to clear energy debts, but the process must be transparent and considerate of the operational realities in the downstream sector,” a COMAC spokesperson told the press.
With fuel prices forming a key component of inflation and transport cost indices, many economists have urged the government to tread cautiously, warning that hasty taxation in the energy sector could trigger broader economic repercussions.
The Ministry of Energy is yet to issue a formal statement on the postponement or provide clarification on how the funds raised from the levy will be managed to avoid misapplication.
