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GeneralHeadlinesPolitics

Minority demands urgent repeal of Energy Sector Levy

Opposition MPs slam the levy as unjust and urge full repeal, not postponement.

Emmanuel Mensah By Emmanuel Mensah Published June 15, 2025
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The Minority Caucus in Parliament is calling for the immediate repeal of the recently amended Energy Sector Levies Act, describing it as a burdensome and ill-conceived tax that will deepen the economic hardship of Ghanaians.

Their demand follows the Ghana Revenue Authority’s (GRA) abrupt postponement of the levy’s implementation, which was initially set to take effect on Monday, 16th June 2025.

In a strongly worded statement issued on Saturday, the Minority condemned the delay as a “shameful retreat,” accusing the government of inconsistency and poor planning. They stressed that deferring the levy was insufficient and insisted on its complete withdrawal.

“This U-turn is a clear admission of guilt, incompetence, and policy failure. Postponing the levy is not a solution. It must be repealed completely,” the statement said.

The Energy Sector Levy—informally dubbed the “Dumsor Levy”—was introduced to address legacy debts within the power sector. However, the Minority maintains that the levy is an unwarranted financial burden, especially at a time when citizens are already grappling with high fuel prices, surging inflation, and economic decline.

The Caucus also accused the governing party of hypocrisy, noting that it had strongly opposed similar policies while in opposition. They criticised the government’s use of global crises, such as tensions in the Middle East, as justification for increasing taxes.

“The same party that criticised the former administration for blaming external factors is now hiding behind those very reasons to justify more taxes,” the statement added.

The Minority rejected any attempts to tie the energy crisis to the delayed rollout of the levy and warned that Ghanaians would not accept excuses for worsening power outages.

Concluding their statement, the Caucus called on Parliament to reconvene under a certificate of urgency to repeal the amended Act immediately. They also urged the public to remain alert and oppose what they described as a “punitive and unjustified tax measure.”

Source: Ghana/Starrfm.com.gh/EmmanuelMensah

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