The Chamber of Oil Marketing Companies (COMAC) says the abrupt implementation of the new Energy Sector Levy will have a greater impact on local fuel prices than fluctuations in global markets.
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The government’s proposed GH¢1-per-litre fuel levy, originally set to begin on June 9, has been postponed to June 16 after strong pushback from industry players.
Local Firms Unprepared for Immediate Rollout
Speaking on Channel One TV, COMAC CEO Dr. Riverson Oppong explained that the issue is not with the levy itself but with the rushed timeline, which leaves oil marketing companies financially unprepared. “When fuel prices rise due to global factors, it’s different. Taxes are prepaid; companies must raise capital in advance before lifting fuel,” Dr. Oppong explained.
He noted that tax-induced price hikes require upfront payments to the Ghana Revenue Authority (GRA), a heavy burden for many local firms already managing tight liquidity. “To lift 10 BRVs of 58,000 litres daily for a week, you’d need GH¢2 million upfront. What bank provides that overnight?” he asked.
Warning of Disruptions Without Dialogue
Dr. Oppong stressed that while COMAC supports national revenue mobilization, implementing such a significant change without adequate preparation could trigger fuel supply disruptions and financial stress across the sector.
COMAC has welcomed the government’s decision to delay the rollout and is calling for more dialogue with stakeholders to ensure a smoother transition.
