The Chamber of Oil Marketing Companies (COMAC) has firmly stated that it cannot and will not implement the newly approved GHS1 energy sector levy slated to take effect tomorrow, Monday, June 9, 2025.
This announcement follows a directive from the Ministry of Energy and Green Transition mandating the immediate implementation of the Energy Sector Shortfall and Debt Repayment Levy (ESSDRL), as approved by Parliament under the Energy Sector Levy (Amendment) Bill, 2025.
The bill introduces a GHS1 increase in the levy on petroleum products, a move expected to raise an estimated GHS5.7 billion annually to help reduce the country’s energy sector debts and support stable power supply. However, the decision has drawn widespread public criticism, with many describing the levy as a “nuisance tax.”
In a strongly-worded statement released by COMAC, the chamber expressed deep dissatisfaction with both the timing and process of the directive, calling it “neither lawful nor operationally feasible.”
“Worse still, the abrupt implementation denies our members—OMCs—the lead time needed to adjust systems, prices, and inventory,” the statement read. “How are OMCs, especially those on the cash-and-carry system, to generate funds for a tax they did not anticipate, on stock to be lifted tomorrow?”
COMAC further disclosed that its leadership had met with the Minister for Energy and Green Transition, John Jinapor, on Thursday, June 5, to discuss the levy and had submitted three key requests aimed at mitigating its impact. According to the chamber, these concerns were completely ignored.
The official letter mandating implementation, dated Friday, June 6, was received early Sunday morning, June 8—despite the date falling on a public holiday—leaving industry players scrambling with little time to prepare.
“Issuing a backdated directive on a holiday and serving it on a weekend for next-day compliance borders on institutional ambush,” the chamber’s statement added. “This approach smacks of coercion rather than governance.”
COMAC reiterated that the downstream petroleum sector is already grappling with eight separate taxes and levies, which together account for 22% of the ex-pump price. The new ESSDRL brings the total to 26%, which COMAC warns could threaten industry survival, competitiveness, and consumer welfare.
The Chamber is therefore calling for a minimum two-week transition period, proposing Monday, June 16, 2025, as a more feasible date for implementation.
“We are industry stakeholders, not bystanders,” the statement concluded. “This must not be reduced to a technocratic rush to impress. We deserve better than Rambo-style directives in the middle of a weekend.”
COMAC says it awaits an urgent and constructive response from the Ministry.
Source: Ghana/Starrfm.com.gh/Prince Essien Ofori
