GH₵1 fuel levy potential inflation accelerator — Deloitte Ghana
Deloitte Ghana has flagged the newly introduced GHS1 fuel levy as a potential inflation accelerator, warning that the tax could increase transport and fuel costs for consumers, despite government assurances that it is needed to stabilize the energy sector and clear legacy debts.
In its latest West Africa Inflation report, Deloitte described the levy — unofficially known as the D-Levy — on petroleum products as a key upside risk to the country’s inflation outlook.
“The implementation of the GHS1 fuel levy, i.e. the D-Levy on petroleum products, is another upside risk that could increase fuel and transport costs,” the report stated.
The levy was introduced under the Energy Sector Levies (Amendment) Act, 2025 (Act 1141) to raise funds for addressing shortfalls in the energy sector, reducing accumulated debt, and helping stabilize power supply. Initially postponed due to stakeholder concerns and volatility in global oil prices, the levy took effect on Wednesday, July 16, 2025.
According to Tariff Interpretation Order (TIO) No. 2025/003 issued by Ghana Revenue Authority (GRA) Commissioner-General Anthony Kwasi Sarpong, the levy has triggered upward adjustments on multiple fuel products.
Petrol (motor spirit, super) now attracts a tax of GHS1.95 per liter, up from GHS0.95. Diesel (gas oil) has increased from GHS0.93 to GHS1.93 per liter. Marine gas oil and heavy fuel oil have also seen price increases, though the levy on liquefied petroleum gas (LPG) remains unchanged at GHS0.73 per liter.
The GRA has directed all petroleum sector operators to comply with the new rates. Products lifted before June 9, 2025, will be charged under the old rates, while those lifted on or after that date are subject to the revised levies.
Despite rising inflation concerns, the government insists the levy is crucial for restoring financial stability in the energy sector. However, Deloitte’s analysis highlights a significant risk that rising fuel and transport costs could lead to broader price increases across the economy.
