The IPS-Ghana has published details of all taxes and levies that contribute to the price of fuel at the pump.
The list of levies and taxes has popped up following President John Mahama’s directive to the finance and energy ministries to remove some levies and taxes on fuel, effective 16 April.
However, it is yet to be seen which taxes and levies will be affected by this directive.
Also, the Executive Secretary of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah, has said some fuel taxes are not only a nuisance but have outlived their sunset.
Duncan Amoah welcomed the government’s decision to scrap some taxes on petroleum products, adding that the decision is timely and necessary and will cushion consumers.
According to Duncan Amoah, the Chamber is ready to engage with the relevant ministries to ensure that any policy decisions deliver meaningful relief to consumers.
Speaking in an interview with Citi News, Duncan Amoah explained, “Effective immediately, we would begin whatever discussions with the two ministries concerned to give our perspectives, particularly on some of the taxes that we believe have not only become a nuisance but have clearly outlived even their sunset uses.
“I believe that these tax conversations should not only be because of the Iranian-American-Israeli conflict situation that has seen fuel prices inch up to the levels they are.
“But it is something that clearly ought to have been done long ago. But we are happy nonetheless that Mr President has given these directives that the ministries concerned should discuss and see how best they can rationalise some of the taxes and take out some of the taxes also to give some ease to the Ghanaian consumer.”
His comment follows: President John Dramani Mahama has ordered the Finance and Energy ministries to take urgent measures to cushion Ghanaians from the impact of rising fuel prices, linked to tensions involving Iran, Israel, and the United States.
On Thursday, April 9, following an emergency Cabinet meeting after President John Mahama’s return from an official trip to France, the decision was made.
In a post shared on X, Minister of State in charge of Government Communications, Felix Kwakye Ofosu wrote, “OUTCOMES of EMERGENCY Cabinet Session on fuel price.
1. Ministers of Finance and Energy directed by the Cabinet to ensure a reduction in fuel price in the next pricing window through the SUSPENSION of some taxes and margins( said taxes and margins to be announced at the next pricing window).
This is to last for four weeks and is subject to review based on the evolving situation in the Middle East conflict and movements in crude oil prices.
3. ALL MINISTERS and SENIOR GOVERNMENT APPOINTEES to adhere STRICTLY to the President’s directive on cancellation of fuel allocations and allowance”.
The move comes following an earlier promise by John Dramani Mahama that the government is prepared to shield Ghanaians from rising fuel costs.
Mahama disclosed that his government will roll out targeted measures to protect consumers if rising global oil prices begin to significantly impact domestic fuel costs.
Speaking at a Presidential Dialogue with Civil Society Organisations, the President stated, “Things were sailing quite smoothly, and indeed, we’re beginning to enjoy some of the lowest fuel prices in a long time. The push factor in the oil price build-up is coming from the price of crude oil and finished products”.
“If this continues, then we will have to take some firm decisions”.
Mahama explained, “Some of the options available to us include adjusting margins to ease the burden on consumers and also reviewing the development levy to provide relief”.
“Fuel drives the transport sector, and transport is a major contributor to inflation. When fuel prices rise, the cost of moving goods, especially food, also increases, affecting the overall cost of living,” he said.
See the list below:
