Accra, June 4, 2025 — Parliament has approved the Energy Sector Levy (Amendment) Bill, 2025, introducing a GHS1 increase in the levy on petroleum products. The move is expected to raise an additional GHS5.7 billion to address Ghana’s mounting energy sector debt and support consistent power supply across the country.
Presenting the rationale behind the bill on the floor of Parliament on Tuesday, June 3, Finance Minister Dr. Cassiel Ato Forson revealed that the country’s energy sector debt has ballooned to $3.1 billion. He further explained that $3.7 billion is needed to clear the arrears, with an additional $1.2 billion required to procure fuel for thermal power generation in 2025.
“The levy will serve as a dedicated source of funding for power sector operations,” Dr. Forson stated. “The impact of the levy on fuel prices will be absorbed by the strong performance of the Ghana Cedi.”
Dr. Forson, who is also the Member of Parliament for Ajumako-Enyan-Esiam, reassured the House that the proposed GHS1 increase in ex-pump prices would not result in an immediate price hike for consumers, thanks to gains made by the local currency.
Despite these assurances, the Minority Caucus vehemently opposed the bill, describing the levy as both ill-timed and inappropriate. Members of the Minority staged a walkout during the approval process, accusing the Majority of pushing through a critical piece of legislation without the required parliamentary numbers.
“The Majority does not have the moral or numerical mandate to impose additional hardship on Ghanaians,” the Minority Leader, Osahen Alexander Kwamena Afenyo-Markin remarked before the walkout.
The approval of the Energy Sector Levy (Amendment) Bill comes amid ongoing national debates over fuel pricing, inflation, and the government’s management of the power sector. With this latest move, consumers are expected to pay GHS1 more per litre of petrol or diesel at the pumps—although government insists the exchange rate cushion will limit the actual impact.
The coming weeks will reveal whether the policy delivers on its promise of a more stable power supply—or whether it sparks further public resistance.
Source: Clement Akoloh||Parliamentary Network Africa
