The Minority in Parliament has called on the government to abolish the GH₵1 levy on petroleum products, arguing that it has outlived its purpose and is worsening the financial burden on Ghanaians as fuel prices continue to increase.
Deputy Ranking Member of the Energy Committee, Collins Adomako Mensah, explained that escalating tensions involving Israel, the United States, and Iran have driven up global crude oil prices, directly impacting fuel prices in Ghana.
He described the continued imposition of the GH₵1 levy as punitive and urged the government to repeal it immediately under a certificate of urgency, while also conducting a comprehensive review of all taxes and levies embedded in petroleum pricing.
As of the second pricing window of March 2026, diesel was selling at GH₵15.60 per litre, while petrol had exceeded GH₵12.40 per litre. The Energy Sector Levy (Amendment) Act, 2025 added approximately GH₵1 to the price build-up, bringing the total levy for debt repayment and sector shortfalls to GH₵1.95 for petrol and GH₵1.93 for diesel.
The Minority further argued that the government had already addressed the energy sector’s outstanding debt between January and December 2025, paying about $1.47 billion.
This included the repayment of GH₵597 million drawn under a World Bank partial risk guarantee and the settlement of all pending gas invoices.
Mr. Adomako Mensah maintained that with the World Bank guarantee fully restored and the energy sector debt cleared, there was no longer justification for maintaining the levy.
“With the World Bank guarantee fully restored and the energy sector debt cleared, the justification for the GH₵1 levy has completely evaporated,” he stated.
He added that government should also consider suspending or restructuring other embedded levies to cushion consumers against the impact of rising global oil prices.
