Let’s be honest — this government has chalked up commendable milestones in its effort to stabilize the economy under difficult global conditions. Inflation has begun to dip, the cedi has held firm against major currencies in recent months, and fuel prices at the pump have dropped significantly — from a staggering GH¢17 per litre to around GH¢11. These gains are not imaginary, and for a country battling post-COVID pressures and external shocks, they speak to some level of economic competence.
But for all this progress, a dangerous blind spot is emerging — and it comes in the form of the recently introduced GH¢1 Energy Sector Levy on every litre of petroleum product.
On paper, the rationale is straightforward: Ghana’s energy sector is in crisis, saddled with debts, revenue leakages, and poor financial management — some of which stem from legacy issues left by previous administrations. The government argues this new levy is necessary to avert collapse. Fair enough.
But here’s the problem — the burden is once again being pushed onto the very people whose daily lives are already strained, without a visible attempt to fix the broken systems at the core of the crisis.
The Ghanaian public is not unreasonable. If the Energy Sector Levy had been preceded by real reform — prosecutions of officials involved in financial mismanagement at ECG, a cleaning up of inflated procurement deals, and actual dismissals for gross incompetence — this new tax might have found firmer ground with the citizenry.
Instead, we are being asked to pay more, while the individuals and systems responsible for the financial haemorrhage remain untouched. It’s like pouring water into a broken bucket and blaming the people for not fetching enough.
The irony is not lost on many Ghanaians. This is the same administration that boldly promised to scrap what it termed “nuisance taxes” when it came to power. It even followed through initially — abolishing betting levies, suspending the e-levy, and signalling a shift towards a more efficient, less burdensome tax regime.
But this new levy feels like a return to default — taxing not as a last resort but as the easiest option, while the deep-seated inefficiencies in the energy sector remain insulated.
Even worse, this all comes at a time when the government needs to solidify public trust — not shake it. Supporters of the administration, who have stood firm through its ups and downs, are now struggling to explain why inefficiency is being rewarded with higher levies, and why no heads have rolled at ECG despite glaring operational failures.
This isn’t just a policy issue — it’s a moral one. Why must the public continue to finance the incompetence of public sector managers? Why are we always asked to tighten our belts while state-owned enterprises continue to bleed resources due to poor oversight and lack of discipline?
Let us be clear: the energy sector crisis is real, and it needs fixing. But that fix must begin at the source of the rot — not at the pockets of the masses. Citizens will support reforms that are fair and transparent. But they won’t stand silently while the few messes up and the many are made to pay for it.
So, here’s the call — to the government we believe in, the leadership many of us have backed and still hope will succeed: Do the hard things first. Clean up ECG. Enforce accountability. Dismantle the gravy train. Show us you’re serious about fixing the system.
Only then will we believe this tax isn’t just another burden, but part of a broader rescue effort we can all get behind.
It’s time to act — not just by taxing, but by leading.