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Friday, June 6, 2025

E-Levy trends as passage of GH¢1 fuel levy sparks massive debate

Ghanaians will now pay GH¢1 on petroleum products Ghanaians will now pay GH¢1 on petroleum products

The government’s introduction of the GH¢1 fuel levy under the Energy Sector Levy has sparked mixed reactions among netizens on social media, who have drawn parallels to the time when E-Levy was passed under the previous government.

As a result, E-Levy is trending at number one on X on Wednesday, June 4, 2025.

The Energy Sector Levy (Amendment) Bill, 2025, which imposes a GH¢1 fee on petroleum products, aims to generate additional revenue to help pay off the country’s chronic energy sector debt and ensure a stable supply of electricity.

While some netizens have welcomed the tax, others have expressed strong opposition, arguing that it may place an additional burden on Ghanaians, similar to the repealed E-Levy.

Some of those who appear to support the tax seem to believe that the GH¢1 deduction on petroleum products may be relatively insignificant, suggesting that it might not place a heavy burden on the ordinary citizen.

They have also indicated that the levy could be justifiable as it might contribute to addressing debts of the energy sector.

Those who appear to be on the opposing side have also expressed the view that the government’s repeal of the E-Levy, previously criticised as a nuisance tax, and the subsequent introduction of the GH¢1 fuel levy could be seen as inconsistent or even hypocritical.

They argue that taxes on petroleum products may not resolve the energy sector crisis, drawing parallels to the E-Levy which was initially presented as a solution to the country’s economic challenges but ultimately fell short of expectations.

Those who appear to take a neutral stance on the mixed reactions to the tax have shared the view that the government must be transparent and accountable to citizens regarding how the taxes will be used.

They added that the payment of taxes may not be the main issue for most Ghanaians; rather, the concern lies in how effectively the funds are utilised and the lack of accountability which often leads to public resistance.

Read some of the posts under the trending topic below:

MAG/EB

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