Fuel price hikes: Calls for govt to reduce levies well-placed — Dr. Amin Adam

Former Finance Minister, Dr. Mohammed Amin Adam, has backed calls for government to reduce fuel levies to cushion consumers.

His comments come as fuel prices continue to rise locally, driven by increased crude oil prices on the international market.

The recent surge in crude prices has been linked to escalating tensions involving military action by the United States and Israel in Iran, which has disrupted supply routes through the Strait of Hormuz.

The situation has triggered calls from civil society organisations and the Ghana Private Road Transport Union (GPRTU) for government intervention through tax reductions on petroleum products.

In a social media post on Thursday, April 2, Dr Amin Adam argued that such calls are justified and will not derail the country’s fiscal plans.

“The calls for Government to intervene by reducing the levies/taxes on petroleum products are therefore well placed as this will not adversely affect the 2026 Budget,” he stated.

He explained that government is already benefitting from higher-than-projected crude oil prices captured in the 2026 budget.

According to him, while the budget benchmark price was set at $76.22 per barrel, crude oil traded above $100 per barrel for most of March 2026, generating significant additional revenue.

“At these prices, the Government is gaining additional windfall revenue of more than GHS8 billion this year,” he noted.

Dr Amin Adam argued that the excess revenue from crude exports can offset any losses from reduced fuel taxes, ensuring that the budget remains intact while easing the burden on consumers.

He urged government to act swiftly to provide relief, stressing that the current economic conditions present a clear opportunity to adjust fuel pricing without compromising fiscal stability.