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Must-Know 10

10 Must-Know Facts About the New One Cedi Per Litre Levy in Ghana

Ghana’s new GH₵1 fuel levy funds thermal power fuel needs, raises GH₵5.7 billion annually, avoids electricity tariff hikes, and is safeguarded for proper use

Fuel Levy Collection Due to Start Today, But Industry Opposition Creates Doubt
The High Street Journal
Jun 9, 2025
  1. What is it?
    It’s a new levy of GH₵1 per litre on refined fuel to raise money for buying power plant fuel.
  2. Why was it introduced?
    To help pay for liquid fuels used in electricity generation since these costs aren’t covered in electricity bills.
  3. Where did this law come from?
    It’s part of the Energy Sector Levies (Amendment) Act, 2025 (Act 1153).
  4. How much money is needed?
    The government needs about US$1.2 billion (GH₵12.6 billion) to buy fuel in 2025.
  5. How much will the levy raise?
    About GH₵5.7 billion is expected annually from the levy.
  6. Who pays this levy?
    Anyone who buys refined petroleum products (like petrol or diesel).
  7. Why not add it to electricity bills?
    Because it would cause electricity tariffs to go up by over 50%, according to PURC.
  8. Will we pay this forever?
    There’s no fixed end date, but the government has a plan to shift toward cheaper, renewable energy in the future.
  9. How will shortfalls be covered?
    If the levy doesn’t raise enough, government funding will cover the rest.
  10. How do we know the money will be used right?
    The money is ring-fenced and monitored by the Finance Ministry and GRA to make sure it’s spent only on fuel.

So What?

This levy is a response to Ghana’s urgent energy funding gap. While it adds to fuel prices now, the government says it’s a temporary fix to ensure stable electricity while working toward a long-term clean energy future.

Contents
  • So What?
    • Source: Ministry of Energy and Green Transition 

Source: Ministry of Energy and Green Transition 

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