President John Dramani Mahama has stated the ₵1 ‘dumsor levy’ was a difficult but necessary decision.
According to John Mahama, Ghana must take advantage of recent gains created by appreciation in the value to accelerate solutions to our energy sector challenges.
He asserted that the ₵1 energy sector levy won’t result in an increase in fuel prices.
Speaking at the Jubilee House on Tuesday during the presentation of the final report of the National Economic Dialogue 2025, John Mahama stated, “This was not a decision we took lightly. Though difficult, it is necessary and justifiable.”
He added, “ We must take advantage of recent gains created by appreciation in the value of our currency to accelerate the solution to our energy sector challenges”.
The Energy Sector Levy Amendment Bill 2025 introduces a GH¢1 increase in the levy on petroleum products.
According to reports the measure will generate some GH¢5.7 billion in revenue to help reduce energy sector debts and help solve the erratic power supply commonly known as dumsor.
In a brief statement on the floor of Parliament, Ato Forson detailed that at least $3.7 billion is needed to clear the current energy sector debt.
Speaking on the floor of parliament, Ato Forson stated, “A minimum of $3.7 billion is needed to clean up the overall energy sector’s indebtedness for us to have a clean slate. In the year 2025, the government will require an additional $1.2 billion to procure essential fuel for thermal power generation alone. The power sector risks imminent collapse if these unsustainable debts are not resolved.
“The government is proposing an increase in the X pump price of diesel, petrol, and related products. The impact will be absorbed by the gains made from the strong performance of the Ghana cedi. And this will mean that consumers will not have to pay extra for the price of diesel and petrol, beginning today, June 3,” he added.
Meanwhile, John Abdulai Jinapor the Minister of Energy and Green Transition has stated that the newly introduced Energy Sector Levy is not to pay the Energy Sector’s legacy debts.
According to the Energy minister, it is to pay for liquid fuel.
He revealed that the cost of liquid fuel is not included in the electricity tariff structure, which poses financing challenges to the government.
See the post below:
The ₵1 energy sector levy is a difficult but necessary decision… – Pres. Mahama #GHOneNews #EIBNetwork #GHOneTV #NewsAlert pic.twitter.com/jyPecwyf4c
— GHOne TV (@ghonetv) June 4, 2025
