Kojo Oppong Nkrumah, Member of Parliament for Ofoase-Ayirebi and Ranking Member on Parliament’s Economy and Development Committee, is urging the government to take advantage of the suspension of the Energy Sector Levy to conduct a broad review of Ghana’s fuel-related tax system.
Oppong Nkrumah criticized the levy as unjustified and argued that it should not only be suspended but permanently eliminated.
“The levy is unnecessary,” he stated. “This suspension should be more than a temporary pause—it’s a chance for the government to re-evaluate and restructure our entire approach to fuel taxation.”
He emphasized that this moment presents a unique opportunity to review the country’s wider revenue strategy, especially concerning taxes on petroleum products.
“This isn’t just about halting one levy,” he said. “It’s about using this break to carry out a comprehensive, long-term review of our fuel revenue streams and overall tax regime.”
His comments come after the Ghana Revenue Authority (GRA) postponed the implementation of Tariff Interpretation Order (TIO) No. 2025/004, part of the Energy Sector Levies (Amendment) Act, 2025 (Act 1141). The directive would have increased the Energy Sector Shortfall and Debt Repayment Levy (ESSDRL) on certain petroleum products starting June 16, 2025.
Following consultations led by the Ministry of Finance, the GRA deferred the implementation. GRA Commissioner-General Anthony Kwasi Sarpong confirmed the suspension in a notice dated June 13, noting that a new rollout date will be announced in due course.
