The Deputy Ranking Member on Parliament’s Finance Committee and Member of Parliament for Tano North, Dr Gideon Boako, has accused the government of failing to use proceeds from the Energy Sector Recovery Levy to settle debts in the energy sector as originally intended.
Speaking in Parliament on Friday, July 31, Dr Boako recalled that the government introduced the GH¢1 per litre levy last year to address mounting debts in the energy sector. However, he claimed the objective had not been achieved despite the revenue generated from the levy.
According to him, findings by the World Bank indicate that although the levy was collected, the government did not apply the funds towards repaying the debts for which the tax was introduced.
“Last year, the NDC government introduced the GH¢1 per litre Energy Sector Recovery Levy to repay energy sector debts. Yet, according to the World Bank, although the levy was collected, government failed to pay the debt as indicated,” he said.
Dr Boako maintained that the development raises concerns about the management of public funds and called on the government to account for how the revenue from the levy has been utilised before introducing additional tax measures.
