Parliament approves GH¢1 fuel levy despite minority walkout

Parliament has approved the Energy Sector Levy (Amendment) Bill, 2025, introducing a GH¢1 charge on every litre of petrol and diesel sold in Ghana.

The bill, passed late Tuesday, June 3, aims to raise funds to reduce Ghana’s rising energy sector debt and ensure a steady power supply.

Finance Minister Dr. Cassiel Ato Forson said the sector’s debt hit US$3.1 billion in March 2025. He explained that the government needs US$3.7 billion to clear arrears and US$1.2 billion more to secure fuel for thermal power plants this year.

To calm concerns, Dr. Forson assured MPs that recent gains by the Ghana Cedi would offset the levy’s effect on pump prices. But not everyone agreed.

The Minority in Parliament walked out during the vote, claiming the bill would burden already struggling citizens. They also accused the Majority of lacking the numbers for a legal passage.

Majority Leader Mahama Ayariga defended the levy, calling it a shared national sacrifice. “This is not the E-Levy. It’s just one cedi per litre, to help end dumsor for good,” he said.

The government estimates the levy will bring in GH¢5.7 billion annually to support energy sector reforms.

Despite the pushback, the bill now awaits implementation, with debates over its long-term impact likely to continue.